Johnson Controls and Saft Reach an Agreement to End Li-ion Automotive Battery JV

Johnson Controls, Inc.,

and Saft have reached an agreement to end their joint venture, Johnson Controls-Saft, which was formed in 2006 to develop and manufacture Li-ion vehicle batteries. Under the terms of the agreement, Johnson Controls will acquire Saft's share of the company for $145 million in cash. The agreement includes an up-front royalty payment by Johnson Controls to Saft in return for an expanded license to Johnson Controls to use certain Saft Li-ion technology in all markets. The transaction, which is subject to regulatory clearances, could close as early as Sept. 30, 2011.