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Johnson Controls Awarded Seven Year Agreement With Novartis

12 October 2000

Johnson Controls Awarded Seven Year Agreement With Novartis

    ATLANTA, Oct. 11 Johnson Controls, Inc. has
announced an agreement with Novartis for the delivery of
integrated facility management and infrastructure services.  Subject to due
diligence, the contracts are expected to be signed by the end of November 2000
and are valued at approximately $115 million (200 Million Swiss Francs) per
year for seven years.
    Johnson Controls will support four Novartis sites across their Basel,
Switzerland headquarters and will standardize facility management service
delivery across ten million square feet of facilities that includes
manufacturing, research and development and administrative operations in
support of Novartis' healthcare business.  Technical maintenance services and
maintenance process automation will be delivered across all manufacturing
equipment and scientific testing equipment.  Johnson Controls will also
provide infrastructure support services covering the full spectrum of facility
management from mailroom and reprographics to security, fire services and
emergency service management.
    Key drivers in the agreement included Johnson Controls experience in
providing integrated facility management support to pharmaceutical industry
leaders and its expertise in supporting portfolios that must operate within
the parameters of the Food and Drug Administration accreditation process.
Johnson Controls has committed to deliver guaranteed savings to Novartis and
plans to retain every Novartis employee impacted by the agreement.  To this
effect, 1,000 Novartis staff currently based in Basel will be transferred to
employment with Johnson Controls.
    "We are looking forward to delivering the knowledge and best practices
we've gained through our work within the pharmaceutical industry," states
Robert Netolicka, President of Johnson Controls Integrated Facility
Management.  "Partnering with Novartis creates an opportunity to share our
expertise and help Novartis exceed their business goals."
    "Johnson Controls possesses the necessary competencies and has a corporate
culture that matches our ideas about performance and personnel policies,"
comments Hans Kindler, member of the Novartis Executive Committee.