New Electric Demo Car Developed by Valeo and BAIC

PARIS, December 20, 2010 - Valeo and BAIC (Beijing Automotive Industry Corporation) presented to the
Beijing Governor today an electric demo car equipped with a complete Valeo
electric powertrain system, demonstrating the Group's expertise in systems
that reduce electric vehicles' energy consumption.

By using a synchronous permanent magnet motor with a large operating
speed range, Valeo's electric powertrain is able to deliver both good
acceleration at low and medium speeds and a high top vehicle speed all with a
single gear transmission.

Developed by Valeo and its partners Leroy Somer and GKN, this system
includes an electric motor, an inverter, a transmission, a charger, a
supervisor and a DC/DC converter.

The partnership between Valeo and BAIC started in early 2010 with the
intent to bring an electric vehicle to series production in 2011. This demo
car is the first concrete achievement of this partnership.

Jacques Aschenbroich, Valeo's Chief Executive Officer, declared: "The
development of this vehicle with our partner BAIC demonstrates Valeo's
expertise in powertrain systems designed to reduce vehicle CO2 emissions and
improve energy efficiency. It also confirms our know-how in electric and
hybrid vehicle technology worldwide."

Valeo is an independent industrial Group fully focused on the
design, production and sale of components, integrated systems and modules for
the automotive industry, mainly for CO2 emissions reduction. Valeo ranks
among the world's top automotive suppliers. The Group has 110 plants, 21
Research centers, 40 Development centers, 10 distribution platforms and
employs 57,300 people in 27 countries worldwide.

For more information about the Valeo Group and its activities, please
visit our web site: www.valeo.com.

For additional information, please contact: Sylvie Delion, Product Media Relations, Tel: +33-1-40-55-20-96