Honda-The Power of Dreams
Honda To Increase Uk Production And Announces 700 New Jobs

· Manufacturing output to increase to 250,000 cars per year during 2007
· Employment at Swindon Car Plant to increase by 700 to 4,900 associates (employees) as a further shift is added

Honda Motor Europe Ltd. announced Honda of the UK Manufacturing Ltd., (HUM), European auto manufacturing entity in Swindon, UK, intends to increase its rate of production to a quarter of a million units per year within 2007.  In order to meet this increase, HUM plans to add 700 new jobs.

Honda of the U.K. Manufacturing Ltd.

The 250,000-unit annual output represents a full capacity utilisation at HUM.  The plant up to now has operated at about three-quarters of its maximum capacity, with one of its two production lines running two shifts while the other line running only one shift.  The extra production volume will be created by adding a second shift to the second production line.

This requirement for extra production is resulting mainly from the unprecedented European demand for the all-new Civic 5- and 3-door models, which are manufactured exclusively by HUM.  In addition, the all new Honda CR-V, which makes its world debut today at the Paris Motor Show, will be built in Swindon to supply primarily the European region from January 2007, further necessitating additional output at HUM.

Speaking at a media conference at the Paris Motor Show, Takeo Fukui, President and CEO of Honda Motor Co., Ltd. said, "We plan to increase output of both the CR-V and the Civic in our Swindon, UK plant from next spring, taking Swindon up to its full capacity of 250,000 units on a yearly basis, within 2007.”

HUM already employs 4,200 associates. Bringing a further 700 new associates to the operation and utilising the maximum capacity will allow Honda to achieve its full production potential in Swindon.

Honda celebrated 20 years of its Swindon operation earlier this year and is able to achieve this next phase of development with increased efficiency and without the need for any further investment in plant infrastructure to the £1.33 billion already invested by Honda.

Honda of the UK Manufacturing Ltd – Key Facts
· Honda of the UK Manufacturing Ltd. is a fully integrated car manufacturing facility, producing the total car (Engine Casting and Pressing) on one site in Swindon.
· Honda has invested £1.33 billion in its manufacturing operation in Swindon
· 75% of the cars produced at Honda of the UK Manufacturing Ltd are exported
· In 2005, HUM produced 186,982 units
· 2006 Production Plan is 189,000
· Current Daily Production: 885 cars per day
· No.1 line (CR-V & Civic 5 Dr): 605 units/day (2 shifts)
· No.2 line (Civic 5 Dr & Civic 3 Dr ): 280 units/day (single shift)
· Total engines produced in 2005: 145,512 units
· 4200 Associates

Honda of the UK Manufacturing Ltd – Milestones

1985 HUM established

1986 Pre-Delivery Inspection begins

1989 Engine Plant production begins

1992 Car manufacturing begins in Car Plant 1
Second Engine Line installed

1995 Press Facility established

1996 10th Anniversary of Operation

1998 1 Million Engines
¼ Million Civics

1999 ½ Million cars
10th anniversary of Engine Production
¼ Million Accords

2000 CR-V production begins

2001 Car Plant 2 begins production
Civic 3-Door Production begins
Civic Type-R exported to Japan

2002 10th anniversary of Car Production
Press Facility expansion
End of Accord production
CR-V exported to North America

2003 1 Million Cars
1 ½ Million Engines

2004 ¼ Million CR-Vs
15th Anniversary of Engine Production

2005 2 Million Engines produced
¾ Million Civics
Diesel engine assembly begins
1.5 millionth car produced

2006 Civic 06 production begins
20th Anniversary of Operation