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Strong North American Growth Leads to Expansion Of Siemens Auburn Hills Headquarters

9 March 1998

Strong North American Growth Leads to Expansion Of Siemens Auburn Hills Headquarters

    AUBURN HILLS, Mich., March 9 -- Siemens Automotive will begin
expansion of its Auburn Hills, Mich., facility in response to strong North
American business growth, and increasing vehicle content of electrical and
electronic systems.
    Built in January, 1991, the 122,000 square foot facility has served as
Siemens Automotive's North American Sales and Engineering Center and
headquarters.
    Since 1996, Siemens Automotive has added more than 100 full time employees
to its Auburn Hills staff, primarily in areas ranging from testing to design
and engineering.  The company presently employs nearly 300 people at the
facility, not including the rotation of 170 college students through
internship or co-op jobs over the past two years.  Before the year 2000, the
company expects to add approximately 100 more people to its Auburn Hills
operations.
    "We have now exceeded our maximum capacity for both laboratory and
employee work space," explained George Perry, president and CEO of Siemens
Automotive Corporation.  "We are planning to break ground in early spring for
roughly another 40,000 sq. ft. of office space and 11,000 additional sq. ft.
of lab and test space," he added.  Siemens owns the 14-acre site where its
facility presently stands.  The spare acreage adjacent to the facility will
more than accommodate the 51,000 sq. ft. expansion.
    "As the application of electronics has proliferated throughout the
automobile this decade," Perry explained, "the role of Siemens as a leading
supplier of advanced automotive electronics technologies has grown
substantially in the Americas, as well as in Europe and Asia."
    Factors fueling the growth of the automotive electronics market segment
include the industry's constant search for the best and most reliable
solutions for cleaner burning, more fuel efficient engines, and enhanced
occupant safety.  "Electronics will continue to be integral in helping car
makers meet stringent government requirements for safety, fuel economy and
emissions," Perry said.
    A two-year snapshot of Siemens Automotive growth (1995 to 1997) marked a
50 percent increase in sales worldwide, from $1.57 billion to $3 billion.
"North America has been, and will continue to be, among our strongest and
steadiest growth markets looking well beyond 2000," Perry said.
    The North American Sales and Engineering Center provides support for North
American customers -- which include the Big Three, Asian and European car
makers -- ranging from applications engineering to sales and marketing
functions.
    The facility houses advanced, certified engine and chassis dynamometer
test cells, including an environmental chamber, designed to carry out a wide
range of engine and powertrain emissions duration testing.  The facility also
includes laboratories for the test and development of electronic and
micro-electronic components and systems.

SOURCE  Siemens Automotive