---

DaimlerChrysler and Suppliers Jointly Invent New Technology

2 November 1999

DaimlerChrysler and Suppliers Jointly Invent New Technology

    NOVI, Mich., Nov. 1 -- DaimlerChrysler's Extended Enterprise
(TM) is moving to the next level by enlisting suppliers to jointly invent a
new technology for lightweight, low-cost, highly recyclable vehicles.
    "We started with a vision for a lightweight, low-cost car that would be as
simple to assemble as a toy," DaimlerChrysler Board of Management Member and
DaimlerChrysler Corporation President, Jim Holden said.  "No one
person or company knew how to do that.  This was only possible because we
brought the material experts, the molding experts and bonding experts in at
the beginning to define the project.
    "We pride ourselves on our Extended Enterprise approach that encourages
our suppliers to bring their expertise to the table early in a product
program," Holden added.  "Now, we're asking suppliers to think beyond the next
product cycle and to work with us on technologies that might not hit the road
for another five to 10 years.  It's also a working demonstration of a 'virtual
R & D center,' a new concept that will become a vital extension of our product
creation process."
    Since the Composite Concept Vehicle (CCV) was first showcased at the 1997
Frankfurt Motor Show, several new suppliers have joined the core development
team.  Decoma International, Inc. of Concord, Ontario, is a subsidiary of
DaimlerChrysler's largest supplier, Magna International, and brings its high
volume production expertise to the project.  A new type of thermoplastic
material is also being supplied by Montell USA, Inc. of Wilmington, Del., in
addition to material also being tested from Ticona, GmbH of Frankfurt.
    Several other suppliers have worked on the research project since its
inception in 1994.  Progressive Tool & Industries of Southfield continues to
work on cooling and assembly fixturing, Ashland Chemical of Dublin, Ohio,
supplies bonding adhesives and Paragon Die & Engineering Company of Grand
Rapids is working on mold designs.
    Close cooperation between automaker and supplier prompted Husky Injection
Molding Systems of Bolton, Ontario, to break ground for their Detroit
Technical Center in Novi two years ahead of the original schedule.  About
30,000 square feet of the 100,000 sq. ft. facility is leased to
DaimlerChrysler.  A total of 16 workstations for DaimlerChrysler and Decoma
engineers exist at the facility.
    Robert Schad, Husky President and CEO, said, "The Detroit Technical Center
and the development of the technology and production of the Jeep(R) Wrangler
hardtop represent a significant financial commitment for Husky in the
automotive industry.  We are excited about this project because it represents
a unique opportunity to lead environmental change in the automotive industry
toward an era of more sustainable practices."
    Decoma President and CEO Al Power said, "This is an exciting and
challenging project that represents a virtual revolution in how to produce
vehicles.  We at Decoma are proud to have been selected by DaimlerChrysler as
part of the Extended Enterprise developing this technology."