SOURCE: Delphi Corporation

January 02, 2008 08:00 ET

Delphi Equips Chery Vehicle With Its Communications and Entertainment Systems

Delphi Brings Much-Anticipated Chinese Chery Vehicle to the U.S. at 2008 CES Show

LAS VEGAS, NV--(Marketwire - January 2, 2008) - Delphi Corporation (PINKSHEETS: DPHIQ) will demonstrate its navigation and premium audio system on a vehicle from Chery Automobile Co. Ltd at the 2008 International Consumer Electronics Show. Chery is a rapidly growing Chinese company that is drawing much attention in the auto industry. As many car companies make plans to introduce less expensive and more fuel-efficient models, the smaller cars built by Chery are expected to enter the North American market soon and are raising curiosity among consumers.

Delphi announced last year that it would provide complete integrated navigation and occupant protection systems for several Chery platforms starting in 2009.

"Chery chose Delphi over our competitors because of our ability to deliver complete systems at a competitive price and our knowledge of the North American market," said Charles Goad, Delphi Electronics & Safety Entertainment & Communications executive.

In one of very few U.S. appearances of a Chinese Chery vehicle, Delphi is showing its integrated navigation and entertainment system to demonstrate how consumers can stay connected in their vehicles. The Delphi system combines navigation with premium audio entertainment to provide route guidance and superior sound quality.

Delphi's touch screen navigation radio features DVD-based map navigation and an AM/FM/CD radio that is satellite digital audio compatible. The system includes an on-board computer that interacts with the Global Positioning System, vehicle sensors and the map database to provide road information and help guide travelers to their destinations.

Delphi's large color navigation display is easy to read. The system features map views, intersection views, an address book and points of interest, all housed on one DVD. A touch-screen menu system helps make the navigation system easy to operate while voice prompts help keep driver's eyes on the road. The system remaps directions automatically should the driver miss a turn.

Delphi's navigation systems are integrated into full-featured entertainment systems that can include radio, satellite radio, traffic data, DVD video, Bluetooth, a voice recorder and media player.

Delphi has a global portfolio of navigation systems and provides units for North America, Europe, the Middle East, China and Japan. Delphi's voice-activated systems provide route guidance in 11 different languages and 15 local dialects for world regions.

"Chery is China's fastest growing domestic auto company and is gaining much attention as it prepares to expand in North America," said Goad. "We are excited to support Chery with Delphi technologies and systems and to demonstrate them here at the Consumer Electronics Show."

Chery has established an alliance that could make it the first Chinese domestic automaker to export vehicles to North America. Since 1997, Chery Automobile Co. Ltd has grown from 50,000 units in 2002 to its target this year of 390,000 cars, including 120,000 units sold abroad.

China overtook Japan in 2006 to become the country with the world's No. 2 vehicle market after the United States. Total Chinese passenger car sales rose 37 percent last year to 3.8 million, while total vehicle sales rose 25.1 percent to 7.2 million, according to the China Association of Automobile Manufacturers. According to industry reports, China will approach the scale of the world's leading vehicle market, the United States, by 2014, when demand is expected to top 15 million units.

In the last decade alone, Delphi has pioneered or led the introduction of multi-speaker, multi-amp premium audio, CD playbacks, DVD rear seat video, MP3 playbacks, advanced TV reception systems and satellite radio into the market. Delphi supplies both OEM and retail hardware for both domestic satellite radio providers. Since beginning production in 1936, Delphi has manufactured more than 283 million radios, that includes 18 million satellite radio systems, and introduced an array of new technologies.

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