May 17, 1999

Lila White
(804) 692-3110

Ken Selzer, Chief Executive Officer
(757) 890-4928
Jill Lawrence
(804) 371-0049
Governor Gilmore Announces Synerject's Consolidation of Operations in Newport News
--Joint venture company's consolidation will create 107 new jobs, $20 million investment over five ye-

Richmond - Governor Jim Gilmore today announced that Synerject, a joint venture company formed by Siemens Automotive Corporation and Orbital Engine Corporation, will merge its component manufacturing operations and base its headquarters in Newport News. The company plans to create up to 107 jobs over the next five years through a $20 million investment.

"I am thrilled to announce Synerject’s official move to Newport News," Governor Gilmore said. "This decision will create unity for the company and bring additional revenue to Virginia’s growing economy."

Prior to November 1998, Synerject’s component manufacturing operations were divided between locations in Saginaw, Michigan and Newport News. The Newport News location will now serve as the global center of expertise for Synerject’s Fuel Components Division, which oversees operations in Europe and Asia. Presently, the firm is manufacturing for non-automobile markets, such as the marine and recreational produce market and the motorcycle and scooter market, which represent a total market of 18 million units annually. In these markets, the Synerject systems, using technology developed by Orbital, reduces harmful emissions by 80 percent and improves fuel economy by 45 percent.

"The decision to consolidate Synerject’s operations in Newport News was based largely on the existing base of expertise and resources available to the joint venture through the Fuel Components Division of Siemens Automotive and support received from the community," Synerject Chief Executive Officer Ken Selzer said.

"Synerject will benefit from Virginia’s skilled workforce and pro-business climate," Secretary of Commerce and Trade Barry E. DuVal said. "The company is poised to prosper in the Commonwealth."

"Synerject’s project is the type of spin-off development that we are very excited about, since it builds on the core competencies of Siemens Automotive," Newport News Mayor Joe Frank said.

The Virginia Economic Development Partnership, the Peninsula Alliance for Economic Development, the City of Newport News and the city’s Economic Development Authority assisted the company with its decision. The Virginia Department of Business Assistance will provide workforce training services.



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