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Siemens Auto Has Georgia on its Mind

11 May 2000

Bolsters R&D; Up to 150 New Jobs Expected

    GAINESVILLE, Ga. - Siemens Automotive today celebrated the completion of 
a 67,000-square-foot facility expansion of its Georgia Motor Operations (GMO), 
located in Gainesville, Georgia.

    According to Operations Manager, Gus Menocal, the expansion brings the
total facility area to 167,000-square-feet, "and represents a big step forward
in establishing GMO as a technical center of expertise for electric motor
actuator drive technology," he said.

    The expansion represents a capital investment of approximately $10 million
and is expected to lead to approximately 150 new jobs, several of which will
be technical positions, over the course of the next two years.

    In addition to warehousing, quality and tooling space, the expansion will
provide an additional 15,000 square-feet of space devoted to test and
development laboratories.  "The added testing facilities will allow us to
maintain our competitive advantage in the market place as we transition new
motor actuator technologies and applications into our product portfolio,"
Menocal said.  Examples of new products on the horizon include "smart" anti-
pinch window lift motors and motors for sliding side door applications on
minivans, both of which are scheduled in the near-term product mix for GMO.

    "Electric power windows have become widely available across most vehicle
platforms," said Armin Naegler, vice president and general manager, Actuator
Motor Drives, Siemens Automotive.  "This growth market combined with the
advent of emerging new applications, such as power sunroofs, back windows
(pick-ups/SUVs) and side doors (minivans) has fueled our expansion of
operations in Gainesville."

    Siemens Automotive, which employs approximately 500 people at its
Gainesville facility, manufactures 12 million motors annually.  The expansion
of GMO will allow the operation to increase production to 16 million units per
year by fiscal year 2002/03.

    Since it was established in 1994, Siemens Automotive's Georgia Motor
Operations has grown at a compounded annual rate of 50 percent.  Anticipating
the burgeoning market for this technology, GMO launched its Gainesville
operations with zero percent of the North American market share in 1994, and
has since penetrated more than 30 percent of the market for window lift motors
for vehicles.

    Siemens Automotive is a tier-one supplier of automotive and electrical-
electronic systems and components with applications covering gasoline and
diesel powertrain systems, safety and chassis systems, body electronics,
electric motor drives and driver information systems.  Worldwide sales in
fiscal year 1998/1999 totaled $3.6 billion.  Siemens Automotive is an
operating unit of Siemens AG, the world's second leading manufacturer of
electronics capital goods, with more than 100 plants and 60,000 employees in
the United States.