SOURCE: Delphi Corporation

February 28, 2007 09:57 ET

Delphi's Innovative Climate Control System Provides Passenger Comfort on Award-Winning Saturn Aura

System Automatically Adjusts Settings to Maintain Desired Cabin Temperature

Patented Technology Can Help Vehicle Manufacturers Reduce Development Time and Costs

TROY, MI -- (MARKET WIRE) -- February 28, 2007 -- Delphi Corporation's (PINKSHEETS: DPHIQ) patented climate control technology, Set & Forget, is featured on the 2007 Saturn Aura midsize sedan -- recently named Car of the Year at the North America International Auto Show in Detroit. The technology is also featured on several other General Motors North American and international vehicles.

Designed by Delphi, the Set & Forget Automatic Climate Control (ACC) System is a significant new technology offering intended to help improve customer comfort by considering changing weather and environmental conditions and then automatically adjusting the cabin temperature accordingly. For Original Equipment Manufacturers (OEMs), it also reduces vehicle development time and costs.

ACC systems have become standard equipment for mid-to-luxury vehicles. They use a computer-controlled heating, ventilation and air conditioning (HVAC) system to maintain a comfortable driving environment in a vehicle cabin when the vehicle goes through changing ambient conditions such as rain, snow or sunshine. Delphi has a long history of supplying ACC systems and was among the first companies to offer ACC systems in the mid-1960s.

Set & Forget takes this technology to the next level, using advanced mathematical algorithms and computer controls to better manage changes in the environment both inside and outside the vehicle. Improved performance is achieved through innovative designs that allow greater control over various aspects of the system behavior. The system calculates the thermal energy needed for passenger comfort and then automatically controls the HVAC module to deliver the proper amount of airflow at the right temperature to the right outlets.

The simplified development process is realized by promoting seasonal independence, so that refinements made for summertime operation do not adversely impact system performance for wintertime, and vice versa.

Set & Forget was first introduced in 2005 on the Pontiac G6. Subsequently, GM launched this technology in China on the Buick GL8 and Buick LaCrosse. GM is also using Set & Forget on North American vehicles including the Saturn Aura and Saturn Hybrid. The technology is slated for additional GM models and is available to any OEM.

According to Dr. Prasad Kadle, chief engineer for Advanced Thermal Components and Systems, Delphi Thermal Systems, Delphi was able to launch a Set & Forget ACC system for GM in China in just one year. "The ability of Delphi's Set & Forget technology to meet aggressive program timing is definitely a plus for OEMs striving to bring quality products to the marketplace at a fast pace," he said.

Reduced development time also translates into reduced development costs. Traditional ACC systems can take several years to develop for a particular vehicle program. It is not unusual for the development to continue after a program has been launched into the marketplace.

"There's an underlying logic to Set & Forget that makes it much faster to apply to a specific vehicle design, which helps us meet the manufacturer's program timing requirements," Kadle said. "Relying on thermodynamics and mathematics gives us an edge in software development and system calibration -- and we can foresee opportunities to reduce ACC system costs by using Set & Forget as a platform."

In addition, Set & Forget can serve as a foundation to launch other high-tech applications such as an adaptable system that will automatically adjust its behavior to suit different drivers or passengers. The Set & Forget system can also be integrated to function cooperatively with other technologies such as heated-and-cooled seats, energy efficiency systems and auto defog systems.

For more information about Delphi and its subsidiaries, visit Delphi's media room at


This press release, as well as other statements made by Delphi, may contain forward-looking statements, that reflect, when made, the Company's current views with respect to current events and financial performance. Such forward-looking statements are and will be, as the case may be, subject to many risks, uncertainties and factors relating to the Company's operations and business environment which may cause the actual results of the Company to be materially different from any future results, express or implied, by such forward-looking statements. In some cases, you can identify these statements by forward-looking words such as "may," "might," "will," "should," "expects," "plans," "anticipates," "believes," "estimates," "predicts," "potential" or "continue," the negative of these terms and other comparable terminology. Factors that could cause actual results to differ materially from these forward-looking statements include, but are not limited to, the following: the ability of the Company to continue as a going concern; the ability of the Company to operate pursuant to the terms of the debtor-in-possession financing facility; the terms of any reorganization plan ultimately confirmed; the Company's ability to obtain Court approval with respect to motions in the chapter 11 cases prosecuted by it from time to time; the ability of the Company to develop, prosecute, confirm and consummate one or more plans of reorganization with respect to the chapter 11 cases; the Company's ability to satisfy the terms and conditions of the Equity Purchase and Commitment Agreement (including the Company's ability to achieve consensual agreements with GM and its U.S. labor unions on a timely basis that are acceptable to the Plan Investors in their sole discretion); the Company's ability to satisfy the terms and conditions of the Plan Framework Support Agreement; risks associated with third parties seeking and obtaining Court approval to terminate or shorten the exclusivity period for the Company to propose and confirm one or more plans of reorganization, for the appointment of a chapter 11 trustee or to convert the cases to chapter 7 cases; the ability of the Company to obtain and maintain normal terms with vendors and service providers; the Company's ability to maintain contracts that are critical to its operations; the potential adverse impact of the chapter 11 cases on the Company's liquidity or results of operations; the ability of the Company to fund and execute its business plan (including the transformation plan described in Note 1, Transformation Plan and Chapter 11 Bankruptcy, of the Quarter Report on Form 10-Q for the nine months ended September 30, 2006) and to do so in a timely manner; the ability of the Company to attract, motivate and/or retain key executives and associates; the ability of the Company to avoid or continue to operate during a strike, or partial work stoppage or slow down by any of its unionized employees and the ability of the Company to attract and retain customers. Additional factors that could affect future results are identified in this Quarterly Report including the risk factors in Part II. Item 1A. Risk Factors, contained herein. Delphi disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events and/or otherwise.

Similarly, these and other factors, including the terms of any reorganization plan ultimately confirmed, can affect the value of the Company's various prepetition liabilities, common stock and/or other equity securities. Additionally, no assurance can be given as to what values, if any, will be ascribed in the bankruptcy cases to each of these constituencies. A plan of reorganization could result in holders of Delphi's common stock receiving no distribution on account of their interest and cancellation of their interests. In addition, under certain conditions specified in the Bankruptcy Code, a plan of reorganization may be confirmed notwithstanding its rejection by an impaired class of creditors or equity holders and notwithstanding the fact that equity holders do not receive or retain property on account of their equity interests under the plan. In light of the foregoing, the Company considers the value of the common stock to be highly speculative and cautions equity holders that the stock may ultimately be determined to have no value. Accordingly, the Company urges that appropriate caution be exercised with respect to existing and future investments in Delphi's common stock or other equity interests or any claims relating to prepetition liabilities.

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