IAC Group Celebrates Opening of Second Manufacturing Facility in Chakan, India

Among the first automotive suppliers to join the Mahindra Supplier Park

CHAKAN, India (March 30, 2011) – International Automotive Components (IAC) Group today celebrated the opening of its new 118,000-square-foot state-of-the-art manufacturing facility during a ribbon cutting ceremony in Chakan, India. The facility, located in the Mahindra Supplier Park, makes IAC one of the first automotive suppliers to establish operations in the Supplier Park and allows IAC to fulfill its commitments to Mahindra and Mahindra Navistar, including just-in-time in vehicle sequence delivery of automotive interior components.

The Chakan facility represents a total investment of approximately $15 million USD and will employ more than 200 individuals. The facility marks IAC’s second manufacturing operation in Chakan since it opened the first plant in early 2009, and enhances the company’s footprint in the western automotive hub of Pune, which is also home to IAC India’s regional headquarters.

“It’s rewarding to see the advancements and contributions our company has made in this thriving automotive region in such a short period of time,” said Jim Kamsickas, global co-CEO and president of North America and Asia. “Similar to our other three India locations, this facility is strategically located in proximity to a major customer and extends our ability to continue supporting our customer’s goals and objectives.”

Derived from its long heritage in the vehicle interiors segment, a global core competence of IAC is its expertise in the design, engineering and manufacturing of vehicle interior and exterior components and systems. The company is bringing that core competence to the new Chakan plant to produce products including instrument panels, floor consoles, interior and exterior garnish trim, air distribution vents and door panels for Mahindra and Mahindra Navistar vehicles.

“This new state-of-the-art facility, our development of local engineering capabilities and industry-first manufacturing processes position IAC to be able to offer the very best solutions that meet customers’ increasing needs for the domestic and export markets,” said Gajanan Gandhe, senior vice president of IAC Asia operations. “Our customers expect multinational, sophisticated suppliers to support their regional and global needs and this facility is an exceptional example of how IAC fulfills these expectations in India and around the world.”

The opening of the facility not only complements IAC’s existing manufacturing facilities and engineering center in the Pune area, but also further expands the company’s presence in the region following its recent expansion in the India market. In January 2011, IAC acquired Manesar-based Multivac India Private Limited, a tier-one supplier of vehicle headliners, instrument panels, interior trim and door panels to key global vehicle manufacturers. This strategic acquisition established IAC’s northern India footprint in proximity to the New Delhi automotive region.