· First facility in India to start commercial manufacturing of indigenous common rail injector

· MoU signed with Maharashtra State Government in November 2005, bear fruits

Nashik, August 1, 2007: In a significant milestone in the history of the development of Common Rail technology in India, Bosch today announced the roll out of the first Common Rail Injector at its Nashik facility. This rollout follows the previous announcement by Bosch to invest Rs.1800 crores in India between 2005 and 2008. A major part of this investment has been committed to the Common Rail development in India. Bosch has been manufacturing injector components for common rail in Nashik since 2006 and having developed indigenous skill and expertise now, is ready to start commercial production of complete rail injectors for both domestic and export markets. Initially it will roll out 100,000 Injectors in 2007, which will touch 3.5 million in 2010.

In November 2005, a MoU was signed between Bosch and the Maharashtra State Government on Common Rail injectors and expansion of mechanical injectors at the Nashik plant, which has borne fruits now.

Working in partnership with customers, as an independent, international, and innovative systems supplier, Bosch is ideally positioned to develop complex technologies that will protect the environment, raise the safety standards, and to get them off the drawing board and onto the road. The company’s slogan ‘Invented for life’ sums up this mission perfectly. “We are delighted to announce the launch of the Common Rail Injector at Nashik, which further reinforces our capability to indigenously manufacture high technology products to meet the emission challenges. The potential for the growth of diesel technology in the country is huge and Bosch is committed to play a significant role in the growth of this technology through its pioneering innovations,” said Dr. Albert Hieronimus, Managing Director, Motor Industries Company Ltd, the flagship of Bosh group subsidiaries in India.

Ongoing large-scale investments in Research and Development have paid high dividends: Our innovative technologies place us in a position where we can play a central role in shaping the future of the automobile technologies in many key areas,” said Dr Hieronimus.

In 2006, worldwide sale of Bosch Common Rail systems was 6.8 million units which are projected to touch 8 million in 2007. Though in India Bosch sold 40,000 Common Rail systems in 2006, it is projected to touch 1.3 million units in 2010, said Dr. Hieronimus. The figures itself proves the growth potential of this unique technology pioneered buy Bosch. In 2006, Bosch Group worldwide spent over 2.7 billion euros on Research and Development in the Automotive Technology business sector alone. That equates to roughly 10 percent of the 27.2 billion euros in sales achieved in this sector – a share that is far higher than the industry average. Research and development expenditures for 2007 are expected to be equivalent to some ten percent of total sales. Close to half these investments in the future will benefit systems that directly help to conserve resources and protect the environment. Nearly 40% of 3,000 patents filed by the Group last year, 1,200 patents are directly related to environmental protection and resource conservation – confirmed Dr Albert Hieronimus.

Bosch – a major contributor to Nashik Economy

Founded in 1972, the Nashik facility is spread over 100 acres and has been producing high quality Injectors and Nozzles for diesel engines of all types and applications. Since December 2005, the Nashik facility has been manufacturing and exporting high precision common rail injector Components.

 Besides employing over 3000 associates, it is the biggest private sector employer in the city and one of the biggest contributors to the exchequers. It also provides employment and service opportunity to nearly 83 local suppliers in and around the Nashik region. This facility alone has paid out a total of nearly Rs. 400 Crores in the calendar year 2006 through excise duties, service taxes, sales taxes, octroi and employee wages.

In Nashik, the company has invested around Rs.7 crores towards upgradation of the effluent treatment facilities. Every new machine procured is made to undergo a thorough environmental impact analysis. The company now plans to use non-conventional energy resources as its next step. Bosch is committed to a greener and cleaner environment and is actively involved in social activities in its neighboring community. Since 1972 this facility is known for its lush, green surroundings and has been declared as a ‘Non-Smoking’ zone. It has also started a tree planting campaign in partnership with the Municipal Corporation of Nashik. The Nashik facility was the recipient of the ‘Golden Peacock Special Commendation Certificate’ towards environment management in 2005.