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Toyota Announces Expansion in North America Indiana Plant to Increase Capacity

20 December 1999

Toyota Announces Expansion in North America Indiana Plant to Increase Capacity

    PRINCETON, Ind., Dec. 20-- Toyota Motor Manufacturing,
Indiana (TMMI) will increase its production capacity by 150,000 units as part
of Toyota's overall plan to boost its North American manufacturing
capabilities to 1.45 million cars and trucks annually.

    Teruyuki Minoura, president and CEO of Toyota's North American
manufacturing headquarters, confirmed this morning at a gathering in
Princeton, Ind., that an additional $800 million investment would be made at
the plant site there.  The increase will add another 2,000 jobs, bringing
total employment at TMMI to 4,300 and total investment to $2 billion.  Total
production capacity will be 300,000 per year when the expansion is complete.
Minoura said that Toyota plans to increase overall North American capacity by
200,000 units, and that the expansion at Indiana will represent the biggest
part of that increase.

    "TMMI is already a key player in Toyota's success in the U.S.," Minoura
said.  "Doubling plant capacity here allows us to continue our commitment to
produce cars and trucks in the countries where we sell them."

    TMMI currently builds the hot-selling Tundra pickup truck and will add a
full-size sport utility vehicle, the Sequoia, to its production line-up next
fall.

    "This decision by Toyota not only means an additional 2,000 new, high-wage
jobs at the plant, but also thousands of spin-off jobs for Hoosiers," said
Governor Frank O'Bannon.

    "This will also likely result in increased business opportunities for the
many Indiana companies that supply Toyota.  Our state has a rich automotive
heritage.  Toyota's growing stake in Indiana is one more assurance that our
automotive future is bright, too," he said.

    TMMI president, Seizo Okamoto, thanked the state and local community for
their continued support of the plant, and added, "I want to acknowledge our
team members.  Their commitment to quality, while at the same time overcoming
many challenges, is a big reason why TMMI is expanding.  I am sure all of
Indiana shares Toyota's pride in this remarkable team."

    With today's announcement, Toyota's overall direct manufacturing
investment in Indiana is $2.1 billion.  Besides TMMI, which began producing
trucks in December 1998, Toyota also has a forklift manufacturing facility in
Columbus, which employs nearly 500 people.  In addition, Toyota purchases from
47 automotive parts suppliers in Indiana, as well as from hundreds of
suppliers of goods and services.

    With today's announcement, Toyota's total investment in North America will
be $12 billion and overall employment will exceed 30,000.