20th August 2009 - Smartire Systems Shareholders Ratify Bendix CVS Acquisition

Addition of tire pressure monitoring systems technology diversifies business

Bendix Commercial Vehicle Systems LLC, a member of the Knorr-Bremse Group, today announced that the agreement to acquire select assets of SmarTire Systems Inc. was formally ratified by the shareholders of SmarTire Systems Inc. Shareholder consent for the sale – which took place during an Aug. 11, 2009 shareholder meeting for SmarTire Systems Inc. – was the final step in the approval process for the agreement, which was signed in December 2008.

"The final approval of the SmarTire asset acquisition will enable Bendix to continue to provide a full range of commercial vehicle systems solutions that improve highway safety for our customers and everyone on the road," said Scott Burkhart, vice president – controls business unit at Bendix. "Despite current market conditions, Bendix has continued to expand its technological offerings, while diversifying its business."

The acquisition enables continued expansion of the Bendix electronics business portfolio, complementing other leading safety technologies such as Bendix® Wingman™ Active Cruise with Braking (ACB) and Bendix® ESP® Electronic Stability Program.

SmarTire™ Tire Pressure Monitoring System (TPMS) by Bendix CVS – also marketed as SmartWave® TPMS – is enhancing the evolving set of Bendix chassis-based safety components. The system, released at Volvo, Navistar International, Caterpillar Inc., as well as available through PACCAR Parts, monitors the pressure and temperature of each tire on a commercial vehicle to provide real-time tire status information. It also warns the driver of tire related problems before they become dangerous. According to the Federal Motor Carrier Safety Administration (FMCSA), "Properly maintained and performing tires aid drivers in preventing and mitigating crash situations." Keeping tires inflated keeps trucks moving, improving fuel mileage, tire life, and tread life.

"Tire pressure and temperature monitoring systems bolster efficiencies, as well as ROI for our customers," said Greg Tooke, product manager for tire pressure monitoring systems at Bendix. "Almost 90 percent of tire failures are a result of underinflated tires. The average cost of a tire failure is $800, and manually checking tire pressure can cost as much as $2,500 a year for one tractor-trailer. TPMS delivers a quick ROI for fleets that deploy the technology, helping them not only reduce their tire-related costs, but also improving their potential safety and operating costs. The system is easy to retrofit on almost any vehicle so the fleet can start receiving benefits almost immediately."

About Bendix Commercial Vehicle Systems LLC

Bendix Commercial Vehicle Systems, a member of the Knorr-Bremse Group, develops and supplies leading-edge active safety technologies, air brake charging, and control systems and components under the Bendix® brand name for medium- and heavy-duty trucks, tractors, trailers, buses, and other commercial vehicles throughout North America. An industry pioneer, employing more than 2,000 people, Bendix is driven to deliver solutions for improved vehicle performance, safety, and overall operating cost. Bendix Commercial Vehicle Systems is headquartered in Elyria, Ohio, with manufacturing plants in Acuña, Mexico; Bowling Green, Ky.; Huntington, Ind.; and Vancouver, British Columbia, Canada.