Johnson Controls Awarded $299 Million for Advanced Automotive Battery Manufacturing

DETROIT, Aug. 5 /PRNewswire/ -- Johnson Controls, Inc. (NYSE: JCI) today announced that it has been awarded a $299 million grant by the United States Department of Energy under the American Recovery and Reinvestment Act (ARRA) to build domestic manufacturing capacity for advanced batteries for hybrid and electric vehicles. This award represents approximately half of the company's total planned investment of $600 million in domestic advanced battery manufacturing capacity and infrastructure development.

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"This investment is an important step toward creating and building an industry in the United States that addresses market requirements and long-term opportunities for growth and new jobs in this country," said Alex Molinaroli, president of Power Solutions for Johnson Controls. "We have assembled a world-class team of suppliers and automotive manufacturers, and we believe this comprehensive approach will enable the United States to establish a domestic industry that is competitive, economically viable and sustainable."

In April, Johnson Controls and its joint venture partner Saft announced that Johnson Controls-Saft was awarded incentives for $148.5 million from the State of Michigan for the establishment of a U.S. manufacturing facility for lithium-ion cells and complete hybrid battery systems in Holland, Michigan. The Holland, Michigan facility will serve the company's global customers, including Ford, for its first plug-in hybrid vehicle for 2012, Azure Dynamics, for its 2010 launch of the next generation Balance(TM) Hybrid Electric commercial vehicle, Daimler AG and BMW.

Johnson Controls-Saft, a leading global manufacturer of hybrid battery systems, earlier this year launched production at the world's first automotive lithium-ion cell manufacturing and battery assembly facility in Nersac, France. It is supplying advanced battery technology for the Mercedes S-class hybrid, on sale now, and the BMW 7 series ActiveHybrid available in early 2010.

"Three years ago, Michigan set the goal of becoming the advanced battery capital of the world," said Governor Jennifer M. Granholm. "Thanks to our aggressive plan and great partners like Johnson Controls-Saft, we are well on our way. Today's announcement of funding for this critical endeavour means new jobs, economic development and opportunity for Michigan citizens."

Molinaroli added, "We are very pleased to be selected for this grant and thank the U.S. Department of Energy for its efforts to support advanced energy storage manufacturing and the creation of high quality jobs. This funding, combined with our own investments and the support we've already received from the State of Michigan, will help to make this strategic new industry a reality."

By converting an existing Johnson Controls facility, the company expects to have the Holland, Michigan plant in operation before the end of 2010.

About Johnson Controls

Johnson Controls (NYSE: JCI) is the global leader that brings ingenuity to the places where people live, work and travel. By integrating technologies, products and services, we create smart environments that redefine the relationships between people and their surroundings. Our team of 140,000 employees creates a more comfortable, safe and sustainable world through our products and services for more than 200 million vehicles, 12 million homes and one million commercial buildings. Our commitment to sustainability drives our environmental stewardship, good corporate citizenship in our workplaces and communities, and the products and services we provide to customers. For additional information, please visit www.johnsoncontrols.com.

About Johnson Controls-Saft

Johnson Controls-Saft is a joint venture that has brought together Johnson Controls -- the world's leading supplier of automotive batteries and a company deeply experienced in integrated automotive systems solutions -- with Saft, an advanced energy storage solutions provider with extensive Li-ion battery expertise.

About Saft

Saft is a world specialist in the design and manufacture of high-tech batteries for industry. Saft batteries are used in high performance applications such as industrial infrastructure and processes, transportation, space and defense. Saft is the world's leading manufacturer of nickel-cadmium batteries for industrial applications and of primary lithium batteries for a wide range of end markets. The group is also the European leader for specialized advanced technologies for the defense and space industries. With approximately 4,000 employees worldwide, Saft is present in 18 countries. Its 15 manufacturing sites and extensive sales network enable the group to serve its customers worldwide. Saft is listed on the Paris Stock Market. The stock is listed in the SBF 120 index. For more information, visit Saft at www.saftbatteries.com

SOURCE Johnson Controls, Inc.

Web site: http://www.johnsoncontrols.com/




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