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ASHA Corporation Announces License Agreement With Major European Automotive Systems Supplier

16 July 1997

ASHA Corporation Announces License Agreement With Major European Automotive Systems Supplier

    SANTA BARBARA, Calif., July 16 -- ASHA Corporation
has announced that STEYR-DAIMLER-PUCH FAHRZEUGTECHNIK, AG &
COKG of Graz, Austria has acquired licensees for ASHA's GERODISC(TM) vehicle
traction control system.
    The March 31, 1997 Agreement grants STEYR four non-exclusive license
applications for European production to include Transaxles, All-Wheel Drive
Couplings, Rear axles and TwinDisc Rear axles.  GERODISC(TM) is a
hydromechanical traction control device which limits wheel spin and improves
traction and handling of vehicles by transferring power in proportion to
available traction at any given wheel.  It can be used with all cars, vans,
sport utility vehicles and trucks in two-wheel, four-wheel, and all-wheel
drive applications.
    Under the terms of the Agreement, ASHA will receive license fees and per
unit royalties.  The company declined to disclose the dollar value of these
fees and royalties
    "GERODISC(TM) is superior to any other competing technology currently
being marketed, and this includes electronic traction control.  In addition,
it can be used to complement manufacturers advanced electronic stability
systems, improving both performance and durability while reducing warranty
exposure," said Mr. Alain Clenet, Founder and Chairman of ASHA Corporation.
    STEYR-DAIMLER-PUCH is a primary producer of four-wheel and all-wheel drive
systems for automotive manufacturers world wide.  The company manufactures
Chrysler Corp. Grand Cherokee sport utility vehicles and Chrysler Mini Vans
for European markets and all wheel RHD markets throughout the world.
    In addition to this newly announced license, ASHA has recently entered
into two additional license agreements and has an option agreement pending
with other major automotive suppliers and manufacturers.  The company plans to
license its GERODISC(TM) technology to major auto industry companies rather
than manufacture and sell GERODISC(TM) units.
    ASHA Corporation, headquartered in Santa Barbara, Calif., is engaged in
the development of advanced technology products, automotive design and
manufacturing techniques for the global automotive industry.

SOURCE  ASHA Corporation