Honda Produces 4-Millionth Car in Canada

Honda of Canada Mfg. announced the production of its four-millionth vehicle. A red 2006 Honda Civic sedan rolled
off the assembly line to mark the milestone. The Honda Civic, which begins its 19th year of production in Canada this fall, has been Canada's best-selling passenger car the past nine consecutive years, and remained the country's top-selling car through the first half of 2006.

The four-millionth production achievement follows an announcement in May of this year that the Alliston complex would further expand with the addition of an engine assembly facility. This new plant will be able to produce 200,000 vehicle engines a year starting in 2008 and increases Honda's commitment to
Canada by an additional CDN $154 million. The new engine plant will be located on a site next to Honda's two existing manufacturing facilities

Honda's Alliston manufacturing facilities have a total production
capacity of 390,000 vehicles per year. "Global demand remains strong for the high-quality products built at our Alliston, Ontario, plant," said Hiroshi Kobayashi, president and CEO of Honda Canada Inc. Vehicles produced at Honda of Canada Mfg. are sold in Canada and are exported to more than 10 countries, including the United States, Australia and Japan.

"We have seen remarkable growth since the plant first opened in 1986 with a production capacity of only 40,000 units - about a tenth of our current production capacity," Mr. Kobayashi said. "Achieving the production milestone of four million vehicles is truly a significant moment for Honda Canada and its associates."

The Honda of Canada Mfg. plant began production in 1986 with the assembly of the Honda Accord. Honda was the first Japanese automobile manufacturer to establish a production facility in Canada. In April 1988, the plant switched to producing the Honda Civic - a model that the Alliston plant continues to produce. In 1998, a second line was opened to allow for production of the
Honda Odyssey minivan. Today, Honda of Canada Mfg. is one of Honda Motor Company's premier manufacturing facilities in the world.

"Honda opened its manufacturing plant in Canada as part of Honda's global commitment to building vehicles close to where they are sold," said Mr. Kobayashi. "The hard work and success of our Canadian associates has resulted in this significant production milestone of four million vehicles.

"In addition, the overall vehicle production quality that our Canadian associates at HCM have consistently achieved was instrumental in being awarded the launch of Ridgeline last year, Honda's first-ever pickup truck for North America - a very important new model for Honda," Mr. Kobayashi said.

Honda of Canada Mfg. represents a total investment of about $2 billion (Cdn). It produces the Honda Ridgeline, Civic and Pilot, and the Acura CSX and MDX. The plant has an annual capacity in excess of 390,000 units and employs more than 4,300 associates. The plant sources $2 billion (Cdn) of goods annually from Canadian-based suppliers.

Source: CNW Group/Honda Canada Inc