• The only automotive supplier with professional braking systems verification road in China
• Over 20,000,000 ESP® systems sold worldwide after first introduced by Bosch in 1995
• USA plans regulation requiring ESP® on all light cars from September 2008 onward

Suzhou, October 23, 2006 — Bosch, the world’s leading auto parts supplier, held a ceremony today for the completion of its vehicle verification road (VVR). The VVR is located in Bosch Suzhou Engineering Center, covers a total area of 36,480 square meters and represents a total investment of Euro 1.8 million. It is used for the road test for application and verification of the vehicle braking system. The road is designed and built up according to international professional standard. The establishment of VVR makes Bosch the only automotive supplier who owns professional braking systems verification road in China.

Mr. Juergen Knott, vice president of Bosch Automotive Products (Suzhou) Co., Ltd. introduces, “As a world-class vehicle verification road, the maximum speed of skid pad is 100 km/h and the total thickness of pavement is 70 cm. The road is designed to last 20 year without deformation. The special surface road is 100 meters long and 4 meters wide in each lane. It is also the only professional vehicle verification road with basalt and ceramic tiles surface at the same time. The VVR is capable for the test of Anti-lock Braking System (ABS), Traction Control System (TCS) and Electronic Stability Program (ESP®) on high µ, low µ, split µ and jump µ surface and the entire regulation test stipulated in GB 13594. Also the VVR is capable for the test including, pedal feel test, pedal loss test, noise test, hill hold (parking brake) test, brake balance test, friction coefficient test-friction pad and relative regulation test.”

Mr. Juergen Knott mentioned in the Bosch’s global strategy, China is a vital part. "The establishment of the Suzhou Engineering Center in China in 2005, together with the expansion of automotive components production and localization, such as the advanced ABS, ESP and foundation, actuation from 2002 have strengthened our application and production ability in China" Mr. Juergen Knott said. “The establishment of the VVR will further assure the fastest response time to our customers’ requests, enhance our engineering capability in China, and benefit our customers in China with the latest technologies.”

It is also mentioned by Mr. Juergen Knott that among the Bosch innovations technogies, ESP® system is one of the highlights. ESP® integrates two technologies, ABS (Antilock Braking System) and TCS (Traction Control System), thus preventing the wheel from locking during braking (ABS) and from slipping during acceleration (TCS). In addition, ESP® can prevent vehicles from skidding which is a major reason for severe or fatal accidents. Over the past few years, well-known automobile manufacturers and institutes have scientifically investigated the effectiveness of ESP®. All studies carried out, including those undertaken by DaimlerChrysler, Toyota, and the American government department NHTSA (National Highway Traffic Safety Administration) come to the same conclusion: ESP® saves lives. Extensive studies by the NHTSA found that installing the active safety system as standard equipment in the U.S. would allow 34 percent of all single-vehicle crashes and 71 percent of all rollovers of passenger cars to be prevented. The NHTSA plans to significantly increase safety on U.S. roads by making the electronic stability program ESP® a mandatory requirement for all light cars. According to a Notice of Proposed Rulemaking published on September 14, all light cars in the U.S. with a gross vehicle weight of up to 4.5 metric tons are to be equipped with this active safety system, a requirement that will be phased in gradually from the 2009 model year up to the 2012 model year.

Over 20,000,000 ESP® systems have been sold worldwide after first introduced by Bosch in 1995.The installation rate of ESP® worldwide for new cars registered in 2005 shows an increasing demand for this technology. For Europe as a whole the rate is currently at around 40%, and in the US the number has almost doubled from 11% in 2004 to 21% in 2005. This positive trend also shows in Asia. We are very confident of the future of ESP® in China, and the build of the VVR reflects our confidence.

About Bosch in China

Bosch founded its first trading office in China as early as 1909. In 1926, the first car service workshop opened in Shanghai. Today, all of the Bosch business sectors are present in China: Automotive and Industrial Technology, Consumer Goods and Building Technology. The company operates via a holding company in Shanghai, 14 subsidiaries, six joint ventures, and six trading companies. The 2005 consolidated sales in China reached 1 billion EUR, which represents a 35% increase compared to the previous year. Non-consolidated entities included, Bosch China achieved sales of 1.2 billion EUR in 2005, a 15% increase from 2004. Up to 2005, Bosch had invested around 620 million euros in the establishment and expansion of its Chinese activities. In the past five years alone, the number of Bosch manufacturing facilities there has doubled, from 10 to 20.

In China over 14,000 Bosch employees follow Bosch’s “3S principle” – Sicher (safe), Sauber (clean), Sparsam (economical) and are committed to bringing to the Chinese customers the latest technology as well as the most reliable services to help the Chinese people improve their quality of life. Innovation applied to environmental protection has been a corporate principle of the Bosch Group since 1973.

About Bosch Group

The Bosch Group is a leading global manufacturer of automotive and industrial technology, consumer goods, and building technology. In fiscal year 2005, some 251,000 associates generated sales of 41.5 billion euros. Set up in Stuttgart in 1886 by Robert Bosch (1861-1942) as "Workshop for Precision Mechanics and Electrical Engineering," the Bosch Group today comprises a manufacturing, sales, and after-sales service network of more than 280 subsidiaries and more than 12,000 Bosch service centers in over 140 countries.

The special ownership structure of the Bosch Group guarantees its financial independence and entrepreneurial freedom. It makes it possible for the company to undertake significant up-front investments in the safeguarding of its future, as well as to do justice to its social responsibility in a manner reflective of the spirit and will of its founder. 92 % of the shares of Robert Bosch GmbH are held by the charitable foundation Robert Bosch Stiftung. The entrepreneurial ownership functions are carried out by Robert Bosch Industrietreuhand KG.

About Bosch Chassis Systems Control and Chassis Systems Brakes in China

Bosch Chassis Systems Control and Chassis Systems Brakes are the most important divisions of automotive technology sector. Bosch China Chassis Systems Control and Chassis Systems Brakes started business and engineering in 2002. In the following year, Bosch set a new ABS (anti-lock braking system) production line in Suzhou and started local production. In the year 2005, Bosch Suzhou began the localization of ABS8.0,ESP®8.0 and foundation. And to assure the fastest response time to our customers’ requests, enhance our engineering capability in China, and benefit our customers in China with the latest technologies Bosch set up a technology center in Suzhou which covers a total area of 200 thousand square meters with a total investment of 60 million USD. And in 2006 Vehicle Verification Road is built to further enhance our application ability.

Major products of Bosch Chassis Systems Control and Chassis Systems Brakes include: ABS, TCS, ESP®, sensors and actuation, foundation.