Delphi Supplies Critical Technologies to Hybrid Vehicle Market

Delphi Offers OEMs Hybrid Vehicle Solutions That Meet Consumer Demand for More Fuel-Efficient, Eco-Friendly Vehicles

PARIS—Delphi Corp. (PINKSHEETS: DPHIQ) is well positioned to provide automakers with the technology to turn out high-tech hybrids. From power electronics to electrical/electronic architecture, thermal management technology to automotive aftermarket expertise, Delphi helps automakers deliver what consumers demand.

“Drivers across the globe are facing rising fuel costs and, as a result, are adjusting their driving habits to compensate for high prices at the pump,” said Ron Pirtle, president, Delphi Europe, Middle East and Africa. “At Delphi, we recognize that a growing number of consumers will be looking to hybrid vehicles to provide better fuel efficiency and reduced carbon emissions as compared to conventional internal-combustion-engine-powered vehicles. Our breadth and depth of systems integration and more than 20 years of experience in power electronics allow us to provide advanced technology for micro, mild, and strong hybrid vehicle powertrains.”

Power Electronics
Building on over 70 years of automotive electronics experience, Delphi provides hybrid electronics with market-leading functionality and reliability. Key products include battery pack systems, hybrid controllers, high-voltage inverters and DC/DC (direct current to direct current) converters.

A leader in innovation and systems integration, Delphi recently integrated the hybrid system controller, inverter converter and battery system into one module that typically fits behind the rear seat. This unique drop-in micro hybrid start/stop system is a self-contained drive system that operates over a wide range of voltages and power levels. Delphi’s 14V stop/start system helps reduce fuel consumption by turning the engine off at idle and promptly restarting it via the accessory belt when the driver is ready to proceed.

Delphi’s innovative hybrid controller provides simultaneous control for internal combustion and electric motors. The company’s rugged high-voltage inverters provide variable frequency AC power from the high-voltage DC battery pack to the electric motor(s). Delphi’s DC/DC converters supply power for accessories, climate control systems and power steering.

Since 2000, Delphi has had more than 100 patents issued in power electronics and advanced energy systems.

Electrical/Electronic Architecture
Delphi is also an expert in hybrid vehicle electrical/electronic (E/E) architecture, including such components as high-power electrical wiring harnesses, connectors, and hybrid electrical centers. Hybrid vehicles have rigorous power requirements and demand robust component performance in a challenging environment. Beyond the components, the company provides custom-designed E/E architectures for hybrid vehicles to achieve greater functionality, reduced mass and packaging space, cost savings, improved reliability, and environmental friendliness. To improve driver safety in high-power environments, complex factors in the electrical system must be addressed and engineered for reliability and peak performance.

A vehicle’s E/E architecture touches nearly every device in all areas of densely-packaged vehicles and must survive extremely harsh environments. Hybrid vehicles present unique challenges when it comes to E/E architecture. DC/DC converters, motor drives, battery packs, and connection systems capable of managing high voltages and currents are increasingly sophisticated. Delphi addresses these needs by building custom E/E architecture systems for today’s hybrid electric vehicles.

Thermal Management
Delphi is also addressing the unique thermal challenges presented by hybrid vehicles in the areas of powertrain cooling and cabin comfort. Many hybrid vehicle engines shut-off at various times during a drive cycle—such as while waiting at a stop sign. Air conditioning systems on conventional vehicles are powered by the engine. So, when the engine on the hybrid vehicle shuts off to save fuel, so does the air conditioning system.

Delphi is developing thermal technologies to enhance hybrid vehicle comfort when the engine is off—including Electric Compressor Air Conditioning Systems and Thermal Storage Systems. These systems offer OEMs a range of thermal technologies to enhance cabin comfort based on specific vehicle architectures and customer needs.

Another challenge presented by hybrid vehicles is the thermal management of the powertrain and the impact heat generation has on cabin comfort. Delphi’s core thermal systems technologies can satisfy all of the hybrid vehicle thermal demands—including the battery and power electronics cooling requirements—without compromising passenger comfort.

These thermal systems help to ensure that the total energy required to manage the thermal needs of the hybrid powertrain and provide passenger comfort resulting in the best overall value, including good fuel economy and uncompromised comfort.

Servicing Hybrids
Another key element in the movement towards hybrid technology is preparing the service industry to safely and accurately diagnose and repair complex hybrid vehicle systems. This hybrid technology represents a fundamental paradigm shift from mechanical to electronic for garages.

Hybrid vehicles incorporate an abundance of complex power electronics, controls and specialized subsystems. Diagnostic capability and the ability to update software in the controls will be a key success factor for future service professionals.

For instance, in the aftermarket remanufacturing of components such as electric propulsion motors and other specialty sub-systems provide green and cost-effective service parts. Battery remanufacturing, refurbishing or reclamation will become a huge business as the part ages. Reflashing of computers and diagnostic time is yet another opportunity.

Delphi’s combined, comprehensive suite of training & support, productivity tools, and workshop solutions helps shops identify needed services; helps technicians quickly locate current, accurate vehicle information; and helps shops stay connected to the latest OE vehicle advances for precise repairs.

For more information about Delphi, visit www.delphi.com.

FORWARD-LOOKING STATEMENTS
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 and its advance agreement with GM, to obtain an extension of term or other amendments as necessary to maintain access to such facility and advance agreement; 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 achieve all of the conditions to the effectiveness of those portions of the Amended and Restated Global Settlement Agreement and Amended and Restated Master Restructuring Agreement with General Motors which are contingent on Delphi’s emergence from chapter 11; the ability of the Company to obtain court approval to modify its amended plan of reorganization which was confirmed by the Court on January 25, 2008 as set forth in its filing on October 3, 2008 and to confirm such modified plan or any subsequent modifications to the confirmed plan or any other subsequently confirmed plan of reorganization and to consummate such plan; 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 as described in the proposed modifications to its plan of reorganization as filed with the court 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 or those of its principal customers and the ability of the Company to attract and retain customers. Additional factors that could affect future results are identified in the Annual Report on Form 10-K for the year ended December 31, 2007 filed with the SEC, including the risk factors in Part I. Item 1A. Risk Factors, contained therein, and the Company’s quarterly periodic reports for the subsequent periods, including the risk factors in Part II. Item 1A. Risk Factors, contained therein, filed with the SEC. 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.