DaimlerChrysler and Volkswagen Announce Minivan Manufacturing Alliance

Auburn Hills, Mich., Jan 5, 2006 –

DaimlerChrysler’s Chrysler Group and Volkswagen today announced that they have reached a formal agreement under which the Auburn Hills, Mich.-based carmaker will manufacture a unique line of VW minivans for the North American market.

Production of the future Volkswagen minivan, which is based on the next generation Chrysler and Dodge minivan platform, will begin in 2008.

“This is an important and groundbreaking decision for the Volkswagen brand in the USA,” said Wolfgang Bernhard, Chairman of the VW Brand Board of Management. “In the VW product range, we are missing a van for families which meets the necessary requirements of our American customers. with this new vehicle, we are going to enter another important market segment with our own product.”

“This is a win-win deal for both the Chrysler Group and Volkswagen,” said Chrysler Group President and CEO Tom LaSorda. “With our manufacturing and platform engineering flexibility, we can deliver a high-quality product specifically tailored to Volkswagen’s customers’ tastes with little or no substitution effect on the current Chrysler and Dodge minivan lineup.”

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