<Wiper System Division>

- In January 2005, the Company acquired 100 percent of the share capital in Valeo Wenling Automotive Systems Co. Ltd., making it its wholly owned subsidiary.

<Climate Control Division>

- In April 2005, Valeo Thermal Systems and FAWER, an automotive parts business of the FAW Group, jointly established Valeo Fawer Compressor (Changchun) Co., Ltd. in Changchun, Jilin to develop and manufacture air conditioning compressors for both the Chinese and overseas markets. Valeo Thermal Systems holds a 60 percent share in the new company, while FAWER owns the remaining 40 percent.

<Security System Division>

- In May 2005, the Company provided 100 percent of the needed capital to establish Valeo Automotive Security Systems (Wuxi) Co., Ltd. to manufacture security systems in Wuxi.

- In 2006, Valeo Security Systems won a contract from a Chinese carmaker to supply it mechanical and electric steering column locks and latch handle collections. It also won a new program to provide latches to Nissan. Production of these products will take place at Valeo Automotive Security Systems (Wuxi) Co., Ltd.

<Lighting System Division>

- In June, 2006, the Company and Ichiko Industries Ltd., a Tokyo-based, leading car lamp supplier, jointly established Foshan Ichikoh Valeo Auto Lighting Systems Co., Ltd. in Foshan City, Guangdong Province. The new facility situated on 34,000 square meters of land. When fully operational, it will employ 400 people. This operation is the Valeo Group's thirteenth in China.

<Transmission Division>

- In January 2006, the Company provided 100 percent of the needed capital to establish Valeo Automotive Transmissions Systems (Nanjing) Co., Ltd. to manufacture torque converters in Nanjing.

<Switches and Detection System Division>

- In August 2005, the Company and Shenzhen Hangsheng Electronics Co. Ltd., China's  leading electronics parts supplier,  jointly established Shenzhen Valeo Hangsheng Automotive Switches & Detection Systems Co., Ltd. to manufacture switches and parking assist sensors in Shenzhen City, Guangdong Province. The joint venture will be owned 75 percent by the Company and 25 percent by Hangsheng Electronics.

<Electrical System Division>

- Telma Vehicle Braking Systems (Shanghai) Co., Ltd. started commercial production in Shanghai in 2006. Telma Vehicle Braking Systems was established in 2004 by Telma, Valeo's subsidiary specializing in retarders.

<Motor and Actuator Division>

- In November, 2006, Valeo and Nidec of Japan signed an agreement, under which Valeo will sell its Electric Motors & Actuators business to Nidec for 165 million euros. The transaction includes transferring Valeo's local Chinese facility and an R&D center to Nidec.

<Recent investment projects>