Chrysler 2013 Annual Report Download - page 77

76 Report on Operations
COMPONENTS
Magneti Marelli (Components)
Magneti Marelli reported an increase in revenues of 3% over the prior year (6% at constant exchange rates) driven primarily by performance in
NAFTA and China, in addition to a modest gain in Europe. In Brazil, revenues were substantially in line with 2012 on a constant currency basis.
During the year, Magneti Marelli entered into several major agreements relating to the development of innovative products in its core business
areas.
In January, an agreement was signed with a leading car leasing company, LeasePlan, for fleet maintenance by Magneti Marelli’s Checkstar
service centers.
In September, Magneti Marelli and China South Industries Group Corporation, a manufacturer of automotive parts and systems, entered into
an agreement to establish a 50/50 JV in China (Hubei Huazhong Magneti Marelli Automotive Lighting Co. Ltd.) for the production of auto
headlights and tail lights.
In November, Magneti Marelli signed two cooperation agreements with Faurecia (a global supplier of passenger car modules and components),
one for the production and distribution of interior and exterior components for FIASA in Brazil (Pernambuco) and the other for the design,
development and production of advanced human-machine interfaces for vehicle interiors.
Also in November, Magneti Marelli signed a cooperation agreement with Opar, a Tofas¸ subsidiary and leader in the automotive parts market in
Turkey, for distribution of aftermarket parts in Turkey. It also entered into an agreement with Iveco for the distribution of two new lines of OEM
parts for LCVs in Europe.
In December, Magneti Marelli and Hero MotoCorp Ltd. established a JV in India for the production of engine control systems for the two-
wheeler market. Magneti Marelli will hold 40% of the JV and Hero MotoCorp the remaining 60%.
Performance for the principal business lines was as follows:
Lighting
Revenues totaled €2,275 million for 2013, an increase of approximately 12% over the prior year driven by growth in NAFTA, where several
new products were launched during the second half of 2012, and in China for Volkswagen. In the German-Czech Republic region and Brazil,
revenues were substantially in line with the prior year.
Innovation and development activities related to:
LED projection module (eLight Modular Concept), the concept has the flexibility to react to changes in market trends and/or technological
improvements such as substitution of the LEDs with latest generation LEDs that offer the same performance with fewer diodes;
glare free high-beam LED technology applied on reflexion technology. Based on use of a single LED, the solution will reduce the cost of
modules;
laser beam in headlamps: product which will use the laser beam module for a high beam application.
Major new orders included headlights for Audi, Ford, Volkswagen and Mini models, as well as headlights and tail lights for Honda.
Commercial Performance
by Operating Segment