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12th March 2009 - WABCO Announces Multi-Year Strategic Agreement to Supply CNHTC, China's Largest Manufacturer of Heavy Duty Trucks

WABCO, a global technology leader and tier-one supplier to the commercial vehicle industry, today announced the completion of a strategic partnership agreement to supply China National Heavy Truck Corporation (CNHTC), the largest producer of heavy duty trucks in China. WABCO's strategic agreement with CNHTC extends to 2016 and is worth several hundred million U.S. dollars in cumulative sales.

A supplier to CNHTC since 1997, WABCO will continue to provide air management products, braking systems including anti-lock braking, and transmission control products. Further increasing their partnership, WABCO will be CNHTC's sole supplier of automated manual transmission (AMT) systems through 2016. CNHTC is the world's first original equipment manufacturer to adopt WABCO's highly advanced modular AMT system in volume production.

"Over the past decade, WABCO has transformed from a European export company into a global organization that successfully adapts to the requirements of the Chinese market," said Cai Dong, CNHTC President. "WABCO's local management team also has the ability to rapidly align sourcing and manufacturing capabilities with market conditions in China, further enhancing the flexibility, cost effectiveness and value that WABCO offers CNHTC."

"We are proud to be chosen by China's largest truck maker as their long term partner in a highly competitive market," said Jacques Esculier, WABCO Chief Executive Officer. "Partnering with CNHTC confirms our strategy of pursuing technology leadership while globalizing our capabilities in engineering, sourcing and manufacturing. CNHTC also recognizes WABCO as a local manufacturer, focused on local customer needs and powerfully connected to the Chinese market."

"Our long term agreement with CNHTC marks another strategic achievement as we continue to combine WABCO's global engineering capabilities with the nuanced knowledge and power of local teams," said Leon Liu, WABCO President, Asia Pacific. "CNHTC values our local sourcing and manufacturing in China, and this agreement consolidates WABCO's position in China as a global technology leader with a strategic commitment to expand appropriate capabilities in China for the long term benefit of local customers."

About WABCO

WABCO Vehicle Control Systems is a leading supplier of safety and control systems for commercial vehicles. For over 140 years, WABCO has pioneered breakthrough electronic, mechanical and mechatronic technologies for braking, stability, and transmission automation systems supplied to the world's leading commercial truck, trailer, and bus manufacturers. With sales of $2.6 billion in 2008, WABCO is headquartered in Brussels, Belgium

Source: WABCO Press Release

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