Elektrobit and AUDI expands infotainment business

Elektrobit Automotive GmbH, a subsidiary of Elektrobit Corporation (EB) and Audi Electronics Venture GmbH (AEV), a subsidiary of AUDI AG, have decided to expand their joint venture activities in e.solutions GmbH to include systems engineering and provide systems integration services to AUDI AG and other VW Group companies for their future connected infotainment solutions. To build the required engineering competences and capacity, the joint venture will establish a new site in Ulm, Germany. By end of 2013 e.solutions is planning to hire up to 100 R&D engineers in Ulm, leveraging the existing knowledge base and competency in systems integration and software development. Since its establishment in June 2009, the joint venture has been developing infotainment software for Audi's and other VW Group's new in-car infotainment systems. Audi is already using the infotainment software suite developed by the joint venture in its high-end infotainment system in the new A3 model launched this year. The joint venture is headquartered in Ingolstadt and it has approximately 130 employees. EB holds a 51% stake in the joint venture and AEV holds the remaining 49%. Since 2009 e.solutions has been included as subsidiary in Elektrobit Corporation's consolidated financial statements. The expansion of the joint venture has no significant impact on the net sales, operating result and balance sheet of EB in 2012 and 2013, and thereby no material impact on EB's current financial outlook for 2012.