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The Valeo Group An independent industrial group, Valeo is one of the world's leading automotive suppliers. It is present at every stage from the design to the production and sale of components, integrated systems and modules for cars and trucks, both as Original Equipment and for the Aftermarket. Valeo is active in three Domains: Driving Assistance, whose goal is to improve road safety, groups together all lighting, wiper and electronic detection systems, Powertrain Efficiency improves vehicle performance and driving pleasure, whilst reducing fuel consumption and polluting emissions. This Domain focuses on vehicles' powertrain and transmission. It covers electrical systems, engine cooling and clutch systems, Comfort Enhancement develops systems for vehicle access and safety, and for the on-board comfort and well-being of all occupants. Key figures In 2005, Valeo posted 10 billion euros of sales, up by 8% over 2004. • R&D expenditure represents 6.6% of sales. • The Group employs 72,900 people representing 95 nationalities in 134 production sites, 68 Research & Development centres and 8 distribution platforms in 28 countries. 1
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❏ The Valeo Group

An independent industrial group, Valeo is one of the world's leading automotive suppliers.It is present at every stage from the design to the production and sale of components, integrated systems and modules for cars and trucks, both as Original Equipment and for theAftermarket.

Valeo is active in three Domains:� Driving Assistance, whose goal is to improve road safety, groups together all lighting,

wiper and electronic detection systems,� Powertrain Efficiency improves vehicle performance and driving pleasure, whilst

reducing fuel consumption and polluting emissions. This Domain focuses on vehicles'powertrain and transmission. It covers electrical systems, engine cooling and clutchsystems,

� Comfort Enhancement develops systems for vehicle access and safety, and for the on-board comfort and well-being of all occupants.

Key figuresIn 2005, Valeo posted 10 billion euros of sales, up by 8% over 2004.

• R&D expenditure represents 6.6% of sales.• The Group employs 72,900 people representing 95 nationalities in 134 production

sites, 68 Research & Development centres and 8 distribution platforms in 28 countries.

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Valeo in Germany

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• 5,300 employees,- 1 National Directorate,- 7 production sites,- 5 R&D Centres,- 4 Tech Centres,- 8 business offices.

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Valeo Service covers the Aftermarket activities of the Valeo Group and comprises two branches,each dedicated to a specific market: the Independent Aftermarket (or IAM, serving independent distributors, garages and auto centres) and Original Equipment Spares (or OES, coveringspare parts distribution networks for specific automakers).

Valeo Service markets one of the most extensive ranges of Aftermarket products in over 100 countries. It focuses on delivering total satisfaction, providing customers with a comprehensive setof commercial and technical support services.

Every day, Valeo Service strives to meet the needs of a constantly evolving market with ever-shorter repair cycles, the assimilation of new technologies and stringent regulations on therecycling of end-of-life vehicles.

❏ Key figures 2005

➢ Annual sales: € 1,770 million,

➢ Workforce: 1, 102,

➢ Sales in over 100 countries,

➢ 12 product lines for passenger cars,

➢ 7 product lines for trucks,

➢ 176 product ranges,

➢ 8 distribution centres,

➢ 1 technical centre.

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❏ A “Market” approach

As a designer and manufacturer of spare parts, Valeo has always made an effort to extend its expertise in cooperation with professionals, distributors, garages and body repair shops in order toadapt to their needs.

That is why the organization of Valeo Service is based on five transversal “MARKETS” each one covering a specific area of expertise:

➢ Crash: for body repair professionals, who call upon several of Valeo's product linesto repair damage due to impact: optical units, radiators, condensers, locks or coolingfan assemblies. The Crash market approach makes its easier for body shops to dotheir work by simplifying their supply system.

➢ Maintenance: a high-rotation range of all the products needed for vehiclemaintenance, targeting distributors, garages and consumers. For example, thismarket enables a distributor to combine all the Valeo products that need to bereplaced on a regular basis: wiper blades, filters, fluids, brake pads.

➢ Repair: which combines for garages all products such as clutches, alternators,starters and thermal and switching systems. In addition, it offers specific training anddiagnostic tools adapted to this demanding, highly technical professional activity.

➢ Post-Equipment: provides retrofit accessory and commodity solutions to allowoptimal safety, comfort, pleasure and design while driving or for the vehicle itself.For example electronic solutions like the beep&park parking assistance system, thehands-free touch&LOCK vehicle access system, or tuning accessories (lighting, fuelcaps…).

➢ Trucks: a product range that covers the specific needs of professionals who requirewell-adapted highly technical products and wide-ranging expertise in terms oftraining, skills and technical assistance.

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❏ Product ranges for passenger vehicles and trucks

➢ Wiper SystemsValeo designs, develops and produces all types of front and rear windscreen wiping systems to ensure perfect visibility under any climatic conditions. These products are organized in severallines under various brands to meet the specific needs of different vehicle types and the OriginalEquipment Spares and Independant Aftermarket distribution channels in different countries. Valeoadds technological content enriched by sophisticated wiper systems and tools adapted to their market, like the wear indicator, packaging and POS advertising materials.

Products: windscreen wiper blades, arms, front and rear wiper motors and linkages, positionedaccording to brand Valeo Marchal, PJ, SWF and Michelin under licence.

➢ Transmissions

Valeo clutches are installed as Original Equipment on one out of every three vehicles sold in Europe.With 1,100 complete kits and 700 spare parts, including hydraulic release bearings and new flywheeltechnologies, Valeo is constantly developing and expanding its range for passenger cars, commercialvehicles, trucks and tractors. Manufactured at 12 sites on four continents, Valeo's transmission partsand kits are distributed in more than 80 countries.

Products: clutch kits, hydraulic release bearings, radial dual mass flywheels, flexible flywheels, 4-piece kits with rigid flywheels.

➢ Lighting and SignalingIn a key position as a supplier of Original Equipment, Valeo is able to offer a wide range of original-quality parts. With its international range of products for both right-hand and left-hand drivevehicles comprising 1,080 parts for main lighting, 120 for auxiliary lighting, 250 for front signallingand 370 for rear signalling, Valeo introduces frequent range extensions and guarantees theavailability of parts for new vehicles, in addition to new technologies developed for OriginalEquipment.

Products: main headlamps, auxiliary lamps (including fog lamps and long-range xenon), daytimerunning lights, rear indicators, lamps, work lights.

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➢ Air Conditioning Valeo, a major global actor in air conditioning, producing 10 million parts each year, proposes solu-tions for all air-conditioning activities and offers customers a global concept to help them grow inthis expanding market:� diagnostic tools with Climtest 2,� maintenance with the ClimFill refill station, filters and anti-bacterial treatments,� repair with compressors, cooling systems, blower motors and electronic control panels.

The catalogue complete with 2200 part numbers, groups this offer in 16 innovative product familiesand is edited annually at the beginning of each year, in phase with the seasonality of A/C activity.Valeo offers a comprehensive approach with training, communication and sales campaigns, and atechnical hotline.

Products: products of the Air Quality line (cabin air filters, ClimPur…), compressors, condensers, drierfilters, heaters and blowers, diagnosis and maintenance tools, regulation parts.

➢ Engine Cooling

With 48 million heat exchangers produced every year in 14 plants, Valeo is a major global player inengine cooling systems. With 2,900 parts, its Aftermarket programme covers 95% of all Europeanvehicles, comprising 13 product families that include all types of heat exchangers (water, air, oil, gas,coolant fluid) as well as water pumps, thermostats, thermoswitches and a range of cooling liquidsthat meets the major automakers' specifications.

Products: heat exchangers, water pumps, thermoswitches, thermostats, cooling liquids, particle filter exchangers.

➢ Electrical SystemsWith over 2100 Standard Exchange part numbers and 650 New products 100% valeorigin, Valeo isa leading player in the Aftermarket for Starters and Alternators. The new and remanufacturedproduct ranges provide solutions for passenger vehicles, trucks and commercial vehicles. Valeorespects high quality standards for the remanufacturing process thanks to OE know-how, and fromserving the vehicle manufacturers that have chosen Valeo for their remanufactured range.A used-material collection service is additionally available for clients, to simplify core managementand optimize machine renovation.

Products: starters and alternators (new and remanufactured).

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➢ Post-Equipment

Valeo is enhancing their post-equipment accessory offer, developing a diversified range to improvesafety, comfort and well-being in the vehicle and enable vehicle design customisation. With a dualprofessional/consumer approach, Valeo brings adapted solutions to the market: detailed fittinginstructions, ready-to-use kits, reduced fitting times, attractive packaging and communication tools.

Products: parking-assistance beep&park, hands-free vehicle access system touch&LOCK (under deve-lopment), ViseoLux™Day DRL, tuning lighting and fuel caps, auxiliary lighting.

➢ Security Systems

Valeo develops and supplies systems that guarantee authorized, secure and comfortable access tovehicles in all circumstances. Its expertise in this field is particularly well-known for hands-freekeyless access and ignition systems, as well as powered opening systems for trunks and liftgates.These features offer greater convenience and facilitate access to the vehicle, while also ensuringmaximum protection against theft.

Products: steering column locks, locks, door handles, actuators and fuel caps.

➢ Switches & Detection Systems

Valeo designs and produces solutions that improve the driver's control over the vehicle'senvironment. These user-friendly technologies and systems are effective in all circumstances andenable drivers to "keep their eyes on the road and their hands on the steering wheel," thusimproving driving safety and comfort.

Products : steering column switches.

➢ Electrical Accessories

Valeo proposes a wide range of electrical accessories to replace horns, relays, flasher units, pre-heating timers, sockets, plugs and window lifts.

Products: window lifts and other electrical accessories.

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➢ Braking

Valeo traditionally proposes a range of brake products with an excellent coverage rate for Europeanvehicles (98% for brake pads). A great many of the parts bear the valeorigin label (more than 75%of the brake pads) and a high percentage of accessories necessary for assembly are included. Thisenables distributors and garages to reduce their stock reserves while maintaining optimal coverage.

Products: brake pads and discs, brake shoes, rear brake kit, hydraulic components, brake fluid.

➢ Ignition

Since the acquisition of the Engine Electronics division of Johnson Controls in January 2005, now called Valeo Engine Management Systems, Valeo has demonstrated its excellence in the latest engine control technologies by offering lines of coils and modules as well as ignition spares andspark plugs using mono- and multi-electrode technologies.

Products : pencil coils, rail coils, integrated ignition modules, spark plugs and glow plugs, a widerange of spares.

➢ Trucks

Valeo is a major Original Equipment supplier to the biggest names in truck manufacturing and supplies spares for the repair and maintenance of all makes of trucks. It offers a high-quality rangeof seven product lines, all consisting of parts that are Original Equipment or equivalent, or producedaccording to OEM quality standards.

- Wiper Systems

- Clutches

- Lighting Systems

- Engine Cooling Systems

- Electrical Systems

- Safety and Electronics

- Braking

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❏ The Brands

Valeo gives its full support to the members of teamValeo, helping them preserve their individualityand giving each one a specific role. With this unique signature, Valeo provides its customers with aglobal approach that strengthens the company's values and the quality of its products.

➢ Cibié - joined the Group in 1970Cibié is the Group's competition and tuning products brand. It is already well knownfor its products for rally and off-road vehicles. Starting with the famous Oscar Xenonheadlamp and developing over the years, Cibié's current range offers high-performance headlamps for customization.

Main products: fog lamps, auxiliary lamps, customized headlamps and rear lamps, fuel caps.

➢ PJ - joined the Group in 1987The PJ brand provides wiper blades for the Aftermarket, with the aim of ensuringbetter visibility, maximum safety and greater comfort for the motorist. PJ wipers aremade of an exclusive composition of natural rubber protected by a graphite coating.

Main products : wiper blades.

➢ Marchal - joined the Group in 1970Marchal is the current market leader for technical automotive parts in hypermarkets,mainly in France. The Marchal product range is intended for the general public and thepackaging has been specially designed to aid rapid identification, with easy-to-readlabels and clear product information.Main products: wiper blades, cabin filters, brake fluids and linings, spark plugs andglow plugs.

➢ SWF - joined the Group in 1998Since 1922, “Spezial Werkzeugfabrik Feuerbach” has enjoyed worldwide recognition.SWF reinforces Valeo's already strong position in wiper systems. Originally a GermanOE specialist, it now offers a comprehensive range of more than 100 references,adapted to the majority of automakers worldwide.

Main products : wiper blades.

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❏ An historical profile of the SWF brand

Over 80 years of Research and Development in wiper technologies

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1922 : founding of S.W.F.: “Spezial Werkzeugfabrik Feuerbach”1927 : Marketing of the first windscreen wipers, along with the development of electricmotors, wiper motors, lighting solutions and other automobile components.

1935 : Launch of the first wipers for curved windscreens.

1958 : Launch of the first wipers specifically for trucks.

1974 : Introduction of the 1-meter blade for buses and launch of integrated spoilers.

1998: SWF joins the Valeo Group, which becomes the leading player in the wiper industry.2000 : SWF introduces the latest innovation in Original Equipment, the Flat Blade wiper, andmakes it available for all existing vehicles in 2003.2001 : Launch of the innovative wear indicator with automakers and in the SWF range.2002 : Introduction of the first rear Flat Blade, on a Volkswagen.2002 : Valeo Bietigheim site wins Production Plant of the Year in the “Best SeriesProduction” category from Produktion, Verlag Moderne Industrie and A.T. Kearney.

2004 : Renovation of the Bietigheim factory to accommodate the new Flat Blade technology.2005: The Flat Blade is launched for the Aftermarket in Germany, for vehicles not fitted withthis technology as Original Equipment.2006 : The SWF Visioflex range is extended to cover the latest vehicles such as Golf III, BMW3 series (E46)…

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➢ SWF today The main SWF production site is located inBietigheim, Germany.

It houses Production, Logistics, R&D andAdministration and employs more than 1,450people. Thanks to a unique process, it offers top-quality products with optimal performancefor three markets: Original Equipment, OriginalEquipment Spares and the IndependentAftermarket.

The Bietigheim factory is recognized as a Skill Centre for front wiper systems, including Flat Bladetechnology.

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❏ The valeorigin label

Valeo is a major global player in the design and production of Original Equipment parts. The valeorigin label, which certifies the quality and reliability of products made by Valeo, guaranteesperfect compatibility between the spare part and the vehicle. The valeorigin label appears only onOE or equivalent quality parts.

valeorigin provides complete transparency for spare parts, informing customers of what they arebuying, who designed it and for which vehicle model. Today, when customers purchase a valeoriginproduct they can easily recognize Valeo quality, both in original parts and equivalent quality products.

Valeo's difference and strength lie in its capacity for technological innovation, extensive product ranges and the quality of its parts. By establishing this quality label, Valeo is reinforcing its positionon the global Aftermarket.

The valeorigin label appears on all Valeo cartons and packaging containing products manufacturedby Valeo and sold under the Valeo brand. It attests that these products are original or equivalent quality parts, as defined by the European Commission.

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❏ Luc Alphand and technical partnership

Valeo has an ongoing commitment to its customers to continuedeveloping, testing and improving innovative products and solutions for the Original Equipment market and the Aftermarket.

The three-year partnership that the company recently signedwith Luc Alphand, winner of the 2006 Paris Dakar rally, the 2005Tunisia Rally, and world champion skier, is both a technical and astrategic alliance. Symbolizing a shared devotion to motor sports,it will enable Valeo to test its products' performance and

reliability, and to acquire experience under extreme conditions of use.

For the Dakar rally and the Le Mans 24 Hours, Luc Alphand's Mitsubishi Pajero and Corvette C5-Rwere equipped with Valeo products. To withstand the extreme conditions of these different challenges, the quality of a vehicle's equipment is a determining factor. Through its technologicalknow-how, Valeo was able to make a significant contribution to the vehicles' overall performance:� The avant-garde wiping technology of the single-arm X.TRM Flat Blade gives the driver the

clearest field of vision possible. Compact, lightweight and easy to replace, it delivers evenpressure over the entire windscreen, improving visibility regardless of the driving conditions -a top priority for racing cross-country in the desert!

� Xenon headlamp beams, with an average range of 150 meters, consume around 35% lesselectricity than traditional halogen lights. Their intense, even lighting increases night-drivingsafety, offering comfort and light nearly as bright as daylight. The headlamps' effectiveness ismaximized by an automatic levelling device.

� Valeo's air-conditioning expertise was on the start line at the last Le Mans 24-hour race! LucAlphand's 580 horsepower Corvette C5-R was fitted with an air-conditioning system,becoming one of the first air-conditioned cars to run the race after the FIA (FédérationInternationale Automobile) allowed participating vehicles to be equipped with A/C.

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As a leading world player in this field, Valeo developed a special A/C system for racing conditions,capable of reducing the temperature in the cockpit from 65°C to 32°C in under two minutes! Thisunique system, with three cockpit vents for the feet and face, provided the racers with remarkabledriving comfort, helping them to resist fatigue and improve their time.

At the highest level of automotive sports, where both human and technological performances arepushed to their limits, Luc Alphand and Valeo have proven to be a world-class team. Inspired by theirinitial success, Valeo and Luc Alphand are looking forward to the 2007 season, starting with the nextLisbon Dakar rally.

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❏ eXponentia - Training for the future

The complexity and diversity of electronic systems, along with the need for faster diagnoses and shorter repair times, are obliging repair shops and autocentres to adopt a new approach to the management of their clientele.

Information on technologies is essential to ensure growth. That is why four big names in the industry - SKF, Tenneco, TRW and Valeo - have joined forces to create eXponentia.

This new training and assistance structure offers one- or two-day courses on specific topics in orderto give repair and other professionals access to the manufacturers' expertise and technical know-how.

Valeo Service focuses on helping its customers at every level in the distribution chain. Given theever-increasing complexity of automotive systems and components, eXponentia enables Valeo tooffer a top-quality training programmed that meets the growing need for this type of service.

eXponentia's training and assistance have been designed to provide garages with the tools andtalents they need to stay competitive and grow. Tested in the United Kingdom since 2004,eXponentia is now a trusted source of information and expertise for a great many garages. This yearit is expanding in Italy, Poland and France.

Robert de La Serve, Director of Valeo Service comments, “eXponentia will be a key element in thetransmission of know-how and will contribute to improving the technical expertise of our customers'customers, the car repair specialists."

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“We guarantee your future” - this is the theme under which Valeo spotlights its new products atAutomechanika 2006, including services and tools for the spares market as well as recent technological innovations for both Original Equipment and the Aftermarket.Five of the innovations showcased on the stand have been nominated for Automechanika's“Innovation Awards”:

➢ Power Line CommunicationThis new technology makes it possible to integrate new equipment while simplifying a vehicle'selectrical architecture. Electrical power and data are simultaneously transmitted on 12V cables for“plug & play” integration.

➢ touch&LOCKThis innovative system combines passive access to the vehicle and an alarm function. An encryptedcommunication locks and unlocks the doors when an identifier in the driver's pocket or handbagcontacts a specific zone of the vehicle.

➢ eCORPSValeo's eCORPS system uses a software programme and a core tracing-identification tool to allowcollection of the customers' cores within 48 hours and to improve the efficiency of remanufacturingactivities through the optimized reuse of old cores.

➢ ViseoLux™ Day : Daytime Running Light (DRL) kitValeo's DRL (Daytime Running Light) kit uses four white LEDs to improve road safety by offering better daytime visibility for oncoming vehicles. Compared to low halogen beams, DRL LEDs offer anenergy savings of 90% and require no bulb replacement for the entire life of the vehicle.

➢ Park4UThe Park4U system locates parallel parking spaces on either side of the street that can accommodate the vehicle. Once a suitable spot is found, the hands-free system steers the car intoit while the driver controls the accelerator and brake.

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The ever-growing number of on-board systems has a tendency tofill up vehicles with electric cables, necessary for transmittingenergy or power and data. In response to this increased complexity, Valeo has developed Power Line Communication (PLC),a new technology that makes it possible to reduce the number ofelectrical circuits by conveying information over the electricalpower system. In other words, a single wire carries both powerand data.

A simplified electrical system that can accommodate new equipmentThe principle of PLC consists of transmitting digital data on an electrical network by superimposingover the electrical signal an additional low-energy signal at a higher frequency (1.6 to 30 MHz). Thissignal is broadcast throughout the electrical system and can be received and decoded anywhere elsein the vehicle.

>> Characteristics� Three types of information signals:

- Start/stop by sending or not sending a signal,- Low-speed PLC at 20 kb/sec,- High-speed PLC at 50 Mb/sec.

� High-speed PLC can be used to integrate many types of on-board equipment. High-techsolutions like cameras, accessories and multimedia applications are easy to implement.

>> Advantages� No drilling, no additional wiring:

- Simplified circuits, - Easy assembly,- Reduced cost by up to 30% depending on the application.

� PLC facilitates post-equipment integration, with no change in the vehicle's electricalarchitecture, and opens new perspectives for on-board electrical and electronic systems.

>> Applications� This technology is compatible with any type of vehicle.� The first applications will be available on the post-equipment market in 2007.

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Power Line Communication (PLC)

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Leave your keys in your pocket! Valeo has developedtouch&LOCK, a new hands-free access system for theAftermarket. It consists of an identifier (remotelocking/unlocking device) and an electrode on the driver'sdoor.

With the identifier in a pocket or handbag, the driver onlyneeds to touch a contact area on the door to lock or unlockthe vehicle. touch&LOCK also incorporates an alarm toimprove the security of the vehicle and its passengers.

>> Characteristics� An electrical field transmission replaces the traditional electromagnetic signal.� Communication signal with pseudo-random encryption.� Wireless identifier enhanced with a low frequency receiver that activates the centralized

locking system as soon as contact is made with the electrode.� The frequencies used comply with European radio and safety standards (1999/EC and R 116).� Alarm activation-deactivation upon locking or unlocking of the vehicle.

>> Advantages� Reliability: a hands-free system using non-broadcast data transmission.� Security: only the person with the identifier can activate the system. The vehicle is protected

against unauthorized use.� Ergonomy: a convenient, user-friendly vehicle access system.� Price: comparable to that of a standard alarm.

>> Applications� The touch&LOCK system is fitted like a conventional remote-activated alarm.

touch&LOCK - Hands-free access and alarm kit

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The concern for sustainable development and improved environmental protection has buoyed thegrowth of the market for remanufactured automobile parts, especially for products like starters,alternators, compressors and clutches. The new eCORPS system developed by Valeo makes the collection of alternator and starter cores more efficient.

Simplicity and fast local service This new system consists of a mobile terminal and a software programme for the electronic transmission of allnecessary data on the collected parts in order to enable fast,automated returns.

eCorps also incorporates a core identification tool. In the past,as many as 3% of the cores were never identified. The new eCORPS system ensures the rapid and reliable

recognition of the majority of the collected parts, thus optimising the remanufacturing process.

Once again, Valeo strives to meet the specific needs of automotive professionals by offering them ahigh-quality, user-friendly service that fits smoothly into their daily operations.

>> Characteristics� Each core collected from the customer is immediately entered in the production schedule,

ensuring an optimal service level.� As soon as a collection is completed, the data is transmitted to Valeo Service and a fax is

automatically generated to inform the customer of the day's collection.� The core collector has real-time direct access to the customer account (products purchased vs.

cores returned).� A specific function offers instant, reliable identification of virtually all cores.

>> Advantages� Rapid, reliable identification of nearly all cores.� Reimbursement of customer surcharges in 48 hours for optimal customer satisfaction.� Simplified encoding of the returns with harmonization of the collection values across 14

European countries (France, Spain, Portugal, Belgium, Netherlands, Luxembourg, Germany,Switzerland, Austria, Norway, Finland, Sweden, Denmark, Italy).

� 30% of new cores have been added to the database since 2005.

>> Applications� The eCORPS system will be launched in France in late 2006 and in other European countries in

2007.

eCORPS - A simplified solution for Standard Exchange

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Valeo's Daytime Running Light (DRL) system ViseoLuxTM Day, the first daytime light kit with LEDsoffers an additional light source with reduced energy consumption, to be clearly visible in daylightand improve road safety.

Stylised integration, low power consumption, long service lifeThe DRL kit improves the visibility of moving vehicles for different road users. Drivers and pedes-trians have enhanced perception of their speed and distance. The ViseoLuxTM Day thus allows dri-vers to anticipate hazards, preventing the surprise of a vehicle suddenly appearing.

LEDs (Light Emitting Diodes) comprise semiconductors that convertelectrical energy directly into light. With their small size, powerfullight emission, extreme reliability, low energy requirement andrecord lifespan, LEDs are the technology of the future for automotivelighting.

>> Characteristics� 4 LEDs constantly indicate the vehicle's presence to oncoming traffic.� A compact solution: a headlight kit that can be embedded in the bumper.� The DRL units have a diameter of 90 mm and can be installed as replacements for the 90 mm

Fogstar fog lamps.

>> AdvantagesEconomical and ecological:� The low electrical consumption of LEDs (20W, 90% less than halogen lamps) ensures

economical continuous operation.� Their increased service life (>5,000 hours) means that they never need to be replaced

throughout the life of the vehicle.� Automatic activation and deactivation upon ignition or shutoff of the engine, for ease of use.

>> Applications� ViseoLuxTM Day daytime running light kits will soon be launched with already 23 vehicle

applications available.

ViseoLuxTM Day : LED Daytime Running Lights (DRL)

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An easier way to park… Park4U by Valeo is an automated parkingsystem based on ultrasound technology. As soon as the driver activates the system, Park4U identifies a space long enough for thevehicle and takes over the steering, leaving the driver to brake andaccelerate.

➢ Effortless, stress-free parallel parkingAs soon as the driver decides to park, he or she switches on the system, whose sensors detect freespaces on the selected side of the street as soon as the vehicle's speed drops below 30 kph. Whenthe parking space is identified, the driver stops the vehicle, engages reverse gear and releases thesteering wheel. Ultrasound back-up sensors supplemented by two side sensors guide the vehiclesmoothly into place, while the driver remains in control of the brake and accelerator.

>> Characteristics� The Park4U system is activated by the driver.� The system compares the identified parking slot with the length of the vehicle.� An audio or visual signal informs the driver that a large enough space is available.� The system takes over the steering as soon as the driver shifts into reverse.� The parking manoeuvre takes place at a speed of under 7 kph.

>> Advantages� Optimium trajectory for the manoeuvres.� No risk of scratching the vehicle's body.� Obstacle detection ensures complete safety.� Compatible with the sensors of the Ultrasonic Park Assist system.

>> Applications� Compatible with any type of vehicle.� Available on first production vehicles in 2007.

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Park4U - The automatic ultrasound parking system

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➢ Wiper systems◆ New additions to the SWF Visioflex range◆ New range of PJ wiper blades with Flat Blade and BBI technology

➢ Transmission◆ Dual Mass Flywheel and flexible flywheel & 4-piece kits with rigid flywheel

➢ Climate control◆ ClimFill refill station - 2006 generation

➢ Electrical Accessories ◆ New window lift range

➢ Ignition ◆ New « 3+1 » technology for the Valeo spark plug

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>> DescriptionSWF is expanding its Flat Blade range, with 25 new products for left-hand and right-handdrive vehicles. Introduced in 1998, Flat Blade technology is becoming standard in theOriginal Equipment market.

The Visioflex range includes Flat Blades for vehicles fitted with this technology as originalequipment (Visioflex) and for upgrading vehicles fitted with conventional blades(Visioflex Alternative). SWF only launches a Flat Blade Visioflex Alternative product whenthe aerodynamic and acoustic performance is equal or superior to that of the original existing blades.

>> Characteristics� Uniform, continuous pressure ensures a permanent, even contact between the

rubber blade and the windscreen. � The formulation and profile of the rubber means it can withstand constant pressure

while also being more tear-resistant than conventional blades, in harsher conditionsand more extreme temperatures.

� Exclusive additives protect the blade from the elements and eliminate squeakingand friction noise.

� In the Visioflex Alternative range, a wear indicator that gradually changes fromblack to yellow informs the user of the extent of the blade's wear.

>> Advantages� The latest generation design and improved blade adherence results in quality wiping and

optimal visibility for the driver and passengers.� The wear indicator offers a useful tool to ensure consistent diagnosis by professionals and

drivers of the extent of the blade's wear. � New for 2006: the wear indicator for the Visioflex Alternative range now incorporates the word

“CHANGE” for even easier diagnosis.

>> Applications� New in the Visioflex range for the Original Equipment market: the BMW 3 Series (E90), Citroen

C4, Ford Focus 2, Mercedes A Class and B Class, Vito and Viano, Peugeot 307, Renault Clio 3,Seat Leon and more.

� New in the Visioflex Alternative range: dedicated kits to replace conventional wiper blades forthe BMW 3 Series (E36 and E46), Volkswagen Polo 3 and Golf 3.

New in the SWF Visioflex range

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>> DescriptionFlat Blade: a revolution in wiper blades. Performance, comfort, design: the Flat Blade isnow standard as Original Equipment. In order to maintain the coverage of the range, 16 newproducts have been included in the catalogue. This ultra-flat wiper blade is characterised by the metallic vertebrae in the rubber blade. Thisensures uniform pressure on the curved surface of the windshield. The technology guaranteesoptimal wiping performance, significantly improving driving safety.

BBI : this integrated wiper arm technology developed for the Original Equipment market isdesigned exclusively for rear wiper systems. BBI is the answer to the very different requirements for rear wipers, in terms of both performance and vehicle design. Seventy-six percent of vehicles have a rear wiper blade fitted, representing further growth potential for thePJ brand. This OE technology is gaining ground in Europe on rear windscreens of vehicles acrossall market segments.

>> Characteristics� The 2006 edition of the catalogue, published in ten languages and including the passenger car

and utility vehicle ranges, covers 106 products including 21 currently being launched: 16 PJ FlatBlade products for the Citroen C4, Volkswagen Passat V, Golf V, Renault Scenic II and Opel AstraH, among others, and five BBI products for the Renault Twingo, Renault Clio, Peugeot 206,Peugeot 307 and more.

� The full range also covers right-hand drive vehicles.� The coverage of European vehicles is 94%.

>> AdvantagesThe Flat Blade is unique, offering unrivalled aerodynamic and acoustic qualities. The lack of anexternal metal structure considerably reduces noise and vibration, allowing the blade to glidesilently across the window without generating the turbulence of conventional wipers. This performance is further enhanced by the uniformity of pressure along the length of the blade.

The Flat Blade offers other important advantages:� Reduced wiper size: reducing obstruction in the driver's field of vision.� The lack of metal structure makes the blade less susceptible to freezing. � The main materials used to make the blade are plastic, stainless steel and rubber: all three are

fully recyclable.� Flat Blade products are available in 2-wiper kits.� For its launch, Valeo has developed a highly innovative cardboard packaging solution.

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New for the PJ range: integration of Flat Blade and BBI technologies

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BBI technology has been specifically developed for rear wipers, addressing a whole new market.With 76% of European vehicles fitted with rear wipers, these new products represent a strong poten-tial for growth, for distributors and repair specialists.

>> ApplicationsThe PJ wiper range is available worldwide except in Germany and Spain.

The Flat Blade range covers the following vehicles:Audi A3, A4, A6 (2001 to 2004), BMW 5 Series, Peugeot 307 and 407, Renault Modus, Renault Scenic2, Volkswagen Golf 4, Golf 5, Passat 5, Polo…

BBI is available for the following vehicles:Citroen Saxo, Citroen Xsara, Renault Clio, Renault Twingo, Renault Megane, Peugeot 106, Peugeot206, Peugeot 307 and Peugeot 807.

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The dual mass flywheels, flexible flywheels and 4-piece kits form a winning combination, which Valeo Service has specifically developed for the aftermarketin order to meet the growing demand for new flywheel technologies.

The number of vehicles fitted with these new flywheels has been growing rapidly for the past ten years, opening up new aftermarket opportunities.While it is rare for the rigid flywheel to require replacement, the dual mass fly-wheel and the flexible flywheel do from time to time, although simply replac-ing the clutch kit often suffices. The new flywheels, which comprise noise andvibration filtering components, are subjected to wear and tear (spring, flexible plate) and furthermore, they cannot be adjusted, as this would damage them.

In response to these needs, Valeo Service markets a double offer with a specific catalogue dedicated to the combined range of dual mass flywheels, flexible flywheels and 4-piece kits.

This new catalogue includes:� Dual mass flywheels & flexible flywheels. A range of 30 references for OE follow-on

applications. It is made up of 27 curved and radial dual mass flywheels for French, Italian,German and Asian vehicles, as well as three flexible flywheels - a technology exclusive toValeo - for Renault/Nissan 1.5 dCi and Fiat/Lancia 1.4i applications.

� 4-piece kits. A range of nine products for VAG, Renault, Peugeot/Citroen, Fiat and Fordapplications. The 4-piece kit with rigid flywheel is a replacement product for the dual massflywheel, specifically developed by Valeo for the aftermarket. It offers a cheaper alternativefor replacement parts, mainly on older vehicles. The 4-piece kitrepresents savings of up to 30% on the price of the part.

Since the highly successful launch of the first kit in 2004, Valeo hasregularly expanded its range. New products launched since January2006 and aimed at the German market: Ford Transit, VolkswagenTransporter 2.4 Diesel, Volkswagen Sharan 1.9 TDi, BMW 3 and 5Series, Audi A4 and A6.

As of September 2006, Valeo Service will distribute a brochureexplaining the advantages of this range that combines original parts - dual mass flywheels and flexible flywheels - and alternative products - 4-piece kits.

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New double offer: Dual Mass Flywheels and Flexible Flywheels with 4-piece kits

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>> DescriptionIn response to market demands, Valeo Service has simplified its range of refill stations while enabling garages to improve the chosen station with the available options.

A high-performance refill station with new features for 2006:� Database of more than 3,300 vehicles.� Better customisation of the tool for repair specialists. The four models in the range (manual,

semi-automatic and fully automatic) can be coupled with a range of options.

>> Characteristics� Range of 4 ClimFill stations: Standard, Techno, Advance and Auto� highly accurate recovery and weighing of fluid to the nearest 5g� ultra powerful two-stage vacuum pump: 180 litres per minute� rapid refilling of fluid to the nearest 5g� automatic cycling between these three stages on some models� database of 3,300 vehicles� automatic evacuation of incondensable material� rinsing kit using R134a liquid (optional)� integrated printer on some models� automatic oil filling (some models)� tracer filling (some models)� multi-pass recycling during the vacuum pumping� high-capacity tank for the R134a (20 kg)� auto-diagnosis for station maintenance.

>> Advantages� The rinsing kit uses R134a liquid: no material consumption and no risk from handling solvents.� For the Auto ClimFill model, the cycle is fully automatic: recovery/recycling + vacuum pumping

+ refilling oil and fluid.� New design protects oil bottles by integrating them into the structure.� Vacuum pump is the most powerful on the market (180 litres per min), for faster results.� An 80-character LCD panel guides the user through the operation, step by step.� Yearly updating of the electronic database. � Some models print a report of operations completed.

>> Applications� All light vehicles, utility vehicles, trucks and some buses with R134a air conditioning systems.

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ClimFill refill station - 2006 generation

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>> DescriptionAround 70% of European cars are now fitted with electric windowlifts, and this proportion is rising (75% predicted for 2007). TheEuropean market is dominated by Original Equipment Spares at81%, compared to 19% for independently distributed parts.To meet market demand, Valeo offers a new range of electric andelectronic window lifts, with more than 450 part numbers featuredin a specific catalogue.

>> Characteristics� A comprehensive range:

- Electric window lifts- Electronic window lifts : electric lifts with the comfort feature of an anti-pinching safety

system and the automatic raising and lowering of windows in a single touch.� Products cover the 4 technologies used on the market:

- cable systems- scissor system,- single arch (Bowden) system- double arch (double Bowden) system.

>> Advantages� Covers 85% of European vehicles.� An international catalogue in seven languages (English, French, Spanish, Italian, German,

Dutch, Polish).

>> Applications� Products destined for the Aftermarket.� Currently available in France, Italy, Benelux, Greece, Czech Republic, Switzerland, Hungary

and Great Britain with launches planned in other European countries in 2007.

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New range of window lifts

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>> DescriptionThe 4 electrode « 3+1 » technology developed for OE allows faster,more effective ignition in all circumstances, even in extreme weath-er conditions.

The long-life technology of the « 3+1 » plugs has a lifespan of up to60,000 km, reducing maintenance costs.

Regulated by the injection mode specific to the vehicle, Valeo's « 3+1 » plug reduces fuel consumption with no drop in performance,while with the same level of fuel consumption, it improves power.

>> Characteristics� By combining double copper electrodes and small self-cleaning side electrodes, « 3+1 »

technology has a greater lifespan of up to 60,000 km.� The central electrode is much longer than the others, enabling the spark to move rapidly from

one electrode to another for optimal combustion.� A reduced number of part numbers, allows for a short range of 44 products that covers 98%

of European vehicles.

>> AdvantagesClear advantages for professionals and consumers: � The plug cools down more efficiently, giving it a longer lifespan.� Optimal combustion ensures a better performance and better protection of the catalytic

converter.� Better ignition in all weather conditions. � Valeo provides a more environmentally friendly solution by reducing petrol consumption and

pollutant emissions. � This technology enables professionals to benefit from a range of just 44 products, thereby

reducing stock required while maintaining optimum park coverage.

>> Applications� Product available for the Aftermarket, covering 98% of European vehicles.

8

New « 3+1 » technology for the Valeo spark plug

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➢ Wiper Systems� New packaging for the Silencio range� Launch of the Michelin range in “Blister” pack

➢ Transmission� New technical CD-ROM: Clutches

➢ New catalogues for Light, Utility and Heavy Duty Vehicles

➢ Enlargement of the Valeo Clim Service network

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>> DescriptionThe conventional Silencio windscreen wiper range, launched in 1998, has become a bench-mark brand for professionals and drivers. This very extensive range was created to embodythe values of technical quality, comfort and noise-free use.

Meeting these three criteria, the Flat Blade, which is aimed at all vehicles and launched in2003 with its own distinct packaging, takes the Silencio name but distinguished by the'X.TRM' label. The features of the product and the label are easy to associate with the worldof extreme and board sports.

Eight years after it was launched, the Silencio windscreen wiper range is being updated andgiven new packaging to correspond with Silencio X.TRM packs. A complete review of therange will accompany this update.

>> CharacteristicsSilencio:� 8 new products for conventional blades, and 8 eliminations: 112 products in total, covering

99% of European vehicles.

Silencio X.TRM:� 29 new products in 2006, 92 products including 59 for follow-on from OE and 33 for an

upgrade from the conventional blade: 94% coverage of Flat Blade vehicles.

>> Advantages� The instructions on the packaging are easier to read, with specific information for professionals

and consumers;� Increased visibility of consumer advantages:

- clearer fitting instructions with photos instead of drawings,- a visual explanation of the role and the fitting conditions of the spoilers,- a visual explanation of how the wear indicator functions (which some consumers still forget

to activate).

The new packaging will be available on the aftermarket at the end of 2006.

New packaging for the Silencio wiper range

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3

Launch of blister-packed Michelin wiper blades

>> DescriptionSince the launch of Michelin wiper blades for the traditional distribution network in October 2005,Valeo has developed the passenger vehicle range for auto-centres and hypermarkets.

>> Characteristics� Wipe blade technology: The unique blade profile provides increased efficiency coupled with

remarkable cleaning qualities. A hydrophobic coating ensures the blade does not stick to thewindscreen in icy conditions.

� The “blister” packaging: developed especially for the hypermarket and auto-centre networksenables the product to be rapidly identified.

>> Advantages� The blade's 'scraper' profile evacuates water and removes impurities such as flies. � The hydrophobic coating protects the blade from bad weather conditions, which improves

durability.� The blister packaging is adapted to the hypermarket distribution network and consumers,

providing easy product identification and recognition.� The product, sold individually and part of a short range of 16 part numbers, takes up little

space on display stands and shelves. � Vehicle applications are clearly marked on the packaging.� The product presentation and fitting instructions are available in 12 languages for optimal

distribution.

>> Applications and availabilityMichelin wiper blades in the blister pack are available in France, Italy, Spain, Greece, Hungary andPoland, and will be launched in other European countries in 2007. In Germany, Michelin wiper bladesare available in the traditional card box only, due to different market requirements.

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4

New technical CD-ROM: Clutches

>> DescriptionClutch repair is a very technical and complex operation. To help professionals with clutch repair, ValeoService has developed a new version of its technical CD-ROM for clutches. It is now available in 10languages and provides three main features:

� An electronic catalogue (to identify the parts needed for the repair).� Specific fitting instructions for each vehicle (to help repairers carry out the repair as quickly as

possible).� A tool for estimates and quotations (to enable repairers to prepare on the spot quotes).

>> Characteristics and AdvantagesElectronic Catalogue: Repairers can easily identify the best clutchkit for their repair, by choosing either the vehicle or the vehiclemanufacturer reference.More than 3,300 photographs of products are included in the CD,making a physical comparison between two clutch kits easy, in caseof doubt about which product to order.

Fitting Instructions: The CD contains a larger number of printablefitting instructions that are vehicle-specific and which cover themajority of vehicles in circulation.These contain clear instructions for clutch replacement (gearboxremoval procedure, advice on inspection and remounting). Theyinclude photographs or drawings showing the correct procedure, and information about whichcouplings to follow, the recommended types and levels of oil and the specific tools to use.

Tool for repair estimates: Repairers can use the programme to draw up repair estimates includingboth parts and labour.Repair times by vehicle are also included in the CD, and the Valeo tariff can also be imported. Usedin combination with the electronic catalogue, the repairer can produce a complete estimate.

The programme also gives the option of including consumables such as oil, making special customerdiscounts and adding comments to the estimate.

Other functionalities: The CD contains a diagnostic tool covering the five main symptoms of clutchproblems. Because the diagnostic system includes simple questions and photographs, it helpsrepairers make a quick diagnosis of the problem and apply the correct repair solution. Finally, the CDcontains marketing items (videos and brochures) showing Valeo's Clutch product offer.

Major upgrades to the programme and its database make the tool easier to use, more intuitive, moreaccurate and broader in scope. It also offers new functionalities, including the product photos andthe option of adding consumables to estimates.

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At Automechanika 2006, Valeo Service announces updates to more than 7 product catalogues.

After the launch of the electronic catalogue and the web catalogue 'powered by TecDoc' at the endof 2005, data consolidation has led to more than 14 catalogues being updated since January 2006.

In addition to specificities for each product line, Valeo's catalogues include:� photographs or scale drawings,� an insert on innovations in the first section,� a list of OEM presences by application,� optimised page layout for easier reading.

The most recent launches in 2006 include:

Lighting and Signalling for right-hand drive vehicles: Headlamps, rear and front lamps,anti-fog lamps are grouped in this new 2006/2007 edition. With the new part numbers,Valeo covers an additional 40 vehicles for headlamps, 22 vehicles for anti-fog lamps, and12 more vehicles for rear lamps. The advantages of this new edition are numerous: aspecific chapter on levelling devices sorted by part number for easy reference and a pagedetailing the latest technological innovations developed by Valeo (xenon bi-function,bending-light, LEDs…)

Brake Pads and Discs for passenger vehicles: The majority of products displayed in thisnew catalogue (650 part numbers) carry the valeorigin label (of OE quality or equivalent)and offer very high braking performance and reduction of running gear noise. The 140 newitems (93 new pads and 47 new discs) have a coverage rate of more than 94.7% for padsand 90.9% for discs. A key benefit of this catalogue is the specific drawings for each disc,maximum and minimum levels of wear resistance and all the accessories available, thatappear at the end of the catalogue. Many new applications appear in this new version,including: the Citroën C4, the BMW Series 1 and Series 3 (E90), the Peugeot 107 and 407,the new Fiat Panda 4X4, the Fiat Punto Grande, the Volkswagen Passat VII and the Fiat NewCroma.

Spark Plugs and Glow Plugs: This new catalogue contains 43 spark plug products and sixnew technology “3+1” plugs. There are 56 glow plug products. The coverage rates for thetwo product lines are high: more than 98% for spark plugs in copper and nickel chromeand 93% of European diesel vehicles for glow plugs.

5

New catalogues for light, utility and heavy duty vehicles

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Wiper Systems for Trucks: The Valeo TIR wiper system now covers 95% of European vehicles. Twonew products, for the Renault Premium and Scania R series, have been added to the 20 existingitems for optimised coverage of Trucks in Europe. The complete Valeo TIR wiper system range ismade up of valeorigin products, for optimum safety.

Engine Cooling and Air-Conditioning for Industrial Vehicles: For this 2006/2007 edition, 88 newradiator part numbers were added for several applications, including recent models such as: Daf75CF, the Iveco Eurocargo Tector RS, the MAN M2000, the TG-A and the Mercedes Actros from 2003.Other products include 36 new references for charge air coolers, 19 heater cores, 14 condensers and12 blower motors. The catalogue is in 11 languages and includes a chapter of technical drawings andmore detailed photographs than the previous version. This catalogue is not available in Germany.

Alternators and Starters for Industrial Vehicles: This 2006 catalogue covers more than 8,470applications for trucks, buses, commercial vehicles, boats and agricultural and industrial machinery.This new edition is easier and quicker to use, particularly in the applications section, which nowshows correspondences for new parts and the main technical features, adjacent to the StandardExchange references. The new edition also includes the most recent “MF250” range, a model withthe latest Valeo technology.

Security Systems and Steering Column Switches Trucks: This new catalogue contains severalproduct lines - steering column locks, door locks, steering column switches and fuel caps - and offers183 products, including 43 new items. This first specific catalogue for trucks groups the product linesaccording to their security functions.

Two of the three product lines are completely new for the trucks market: the range of fuel caps, with12 multi-application products, and the steering column switch range, with 19 products for the Ivecoand Irisbus applications. The security systems line includes 12 new items for DAF and Renaultapplications to enhance the existing range.

6

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Valeo Clim Service, the first European network for specialists in automobile air conditioning, continues to grow in 2006 with a modernised logo and new signage for its 1700 members.

Cars are becoming increasingly complex and the importance of electronic systems is growing constantly. As a result, it is becoming harder for repair professionals to carry out the necessary checksif they do not have access to the appropriate diagnostic tools. Mechanics who work on air-conditioning systems should also possess an appropriate qualification. At the same time, therapid growth in the number of vehicles equipped with air-conditioning opens up new opportunitiesfor repairers to increase their turnover.

Valeo Clim Service provides a comprehensive package of:� Innovative tools designed to provide precise diagnosis of the air-conditioning loop. The tools

provide the basis for a range of services from annual servicing (Airtest, Climtest2) andrecharging refrigerants (ClimFill) to more complex repairs (maintenance CD-ROM, Clim OnLine).

� 16 product lines with over 2300 references.� Specialized training modules for the repair professional.� Technical expertise.� Marketing and communication support.

➢ A dedicated websiteThe Valeo Clim Service website, launched in 2004, comprises 3 distinct areas that cater for individuals, professionals and VCS network members. The site is an important source of informationfor air-conditioning systems; it is instructive, informative and federating. The latest A/C product andsystem information is easily accessible on www.valeo-clim-service.com.

➢ A new 2006 communication campaignValeo Clim Service provides its network with a full range of sales and promotional materials to interest the end-consumer and inform them about the necessity of regular A/C maintenance, thetheme chosen for this year's campaign.

➢ 4 new countriesTurkey, Russia, Latvia and the Ukraine have just joined the network with 26 active members, 10 distributors and 16 garages.

➢ The air-conditioning maintenance CD Rom V 2., offers a updated database that provides:� A search by vehicle, or part number (Valeo or car-manufacturer),� Fitting and dismantling instructions for cabin air filters, receiver drier and accumulators,� Type, quantity and tolerance for refrigerant and oil,� Quotation tool for maintenance (quotation/invoice).

7

The Valeo Clim Service network is growing

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➢ Valeo Clim Service in GermanyThe VCS network in Germany has been active since 1999 and now counts 82 members of which 23are wholesaler distributors and 59 repair garages. In Germany, over the last 4 years, refill operationson the independent aftermarket have increased by 47% and repair operations have tripled, due tothe ageing car park and consumer awareness of the importance of air-conditioning maintenance.Valeo, through the Valeo Clim Service offer provides an innovative, comprehensive approach, tailored to the maturity of the market to aid A/C aftermarket repairers.

8

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1

Crash.jpg Maintenance.jpg Repair.jpg Post-Equipment.jpg Trucks.jpg

valeorigin.jpg Cibié.jpg Marchal.jpg PJ.jpg swf.jpg Valeo.jpg

Valeo Service

Touch&LOCK.jpg eCORPS.jpg ViseoLux Day.jpg

Innovation Award

touch&LOCK

eXponentia.jpg

eCORPS ViseoLux Day DRL

Power Line Communication.jpg Park4U.jpg

Park4U

Markets

Logos and Label

eXponentia

Power Line Communication

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SWFpackVisioflex.jpg FlatBlade.jpg PJ pack.jpg Dual Mass Flywheel.jpg Clutch 4 piece Kit.jpg

New Aftermarket Products

Wiper systems

ClimFill.jpg

Climate control

Windowlift.jpg

Electrical Accessories

Transmission

Ignition

spark plugs 3+1.jpg

Silencio new pack.jpg Michelin Front blister.jpg clutchTechnicalCDROM.jpg

New Aftermarket Services

catalogues trucks.jpg

New catalogues

Transmission

Catalogues passenger cars.jpg

Wiper systems

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New packaging

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photo dispo angl 7/09/06 10:27 Page 2


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