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Donnelly Announces Solid Polymer Matrix(TM) Technology

11 November 1999

Donnelly Announces Solid Polymer Matrix(TM) Technology for Safer, More Robust Auto-Dimming Mirrors

    HOLLAND, Mich., Nov. 10 -- Donnelly Corporation ,
the world's leading supplier of automotive mirrors, has begun using Solid
Polymer Matrix (SPM)(TM) technology to produce electrochromic (EC), automatic-
dimming rearview mirrors that are safer and more robust than competing
products available in the market today.
    Donnelly designed its SPM(TM) technology to use a solid substance
sandwiched between two pieces of glass, which darkens to reduce reflectivity
when electric current is applied to it.  With the older technology that is the
industry standard today, the electrical current is applied to a liquid
substance contained between two layers of glass.  If the mirror is broken, the
liquid substance can leak out and the mirror will fail immediately.
    With Donnelly's Solid Polymer Matrix(TM) technology, there is no liquid
substance to leak, and the mirror can continue to function for a period of
time even if the glass is cracked.
    "An electrochromic mirror is essentially a safety product; it makes
driving safer by eliminating glare," said Dwane Baumgardner, Donnelly chairman
and chief executive officer.  "Our new EC mirrors take safety two steps
forward by eliminating the potential for fluid leaks and by dramatically
improving the survivability of the product."
    Over time, Donnelly plans to base most or all of its electrochromic mirror
products on the company's Solid Polymer Matrix(TM) technology.  EC mirrors
using the technology will begin appearing on production vehicles in North
America and Europe next year.
    Over the past two years Donnelly has emerged as a strong competitor in the
world market for electrochromic mirrors.  During the last 12 months the
company doubled its production of electrochromic mirrors, and is on track to
double its EC sales again within the next 24 months.
    Donnelly Corporation is the world's leading manufacturer of automotive
mirrors.  Through its mirror products and other product lines, Donnelly is a
supplier to every major automotive manufacturer in the world.  The company has
been based in Holland, Michigan, since 1905, and today has approximately 6,000
employees in 12 countries worldwide.  Donnelly has been named by the Society
of Automotive Engineers as a model company in lean manufacturing practices.
In addition, Donnelly is nationally recognized as a leader in the application
of participative management principles and systems.