LAFAYETTE, Indiana (March 13, 2006) ? Governor Mitch Daniels announced today that the Toyota Camry will be built at Subaru of Indiana Automotive, Inc., (SIA) creating 1,000 new jobs.

This is part of a collaborative agreement announced between SIA parent Fuji Heavy Industries Ltd. (FHI) and Toyota Motor Corporation (TMC). Through the Indiana Economic Development Corporation (IEDC), the state has offered incentives to assist the companies in reaching the agreement.

?Toyota and Subaru are tremendous corporate citizens who have been pillars of our economy in Indiana for years. We are enormously proud to be the first state with Toyota vehicle production in two different plants,? said Daniels. ?Indiana is on a real hot streak, but we have to keep it going. In just the last month, we?ve had major job announcements from Sallie Mae, Bass Pro, Louis Dreyfus, Sysco, Schneider and now, Toyota. And we have many more under discussion.?

Daniels visited Toyota headquarters during his economic development mission to Asia last August and met with Dr. Shoichiro Toyoda, honorary chairman of Toyota. State officials have met with Toyota officials on several occasions over the last several months to discuss the new Lafayette Camry manufacturing line.

The governor announced on Friday (March 10) that he will return to Japan in June with a delegation of Indiana business leaders and elected officials.

The economic development incentives offered by the IEDC include up to $1.25 million in training grants and up to $500,000 in infrastructure assistance to the local community. Additional income tax credits are possible.

Camry production at SIA will begin in spring 2007. About $230 million will be invested to install Camry manufacturing processes in an existing SIA line capable of producing about 100,000 vehicles annually. With this additional capacity and other expansions underway, Toyota will have North American annual production capacity of 2 million cars and trucks by 2008.

Production volume at Toyota Motor Manufacturing, Kentucky (TMMK), which builds Camry, will be maintained because Indiana Camry production replaces imports and provides Toyota with the ability to build more of the popular car. TMMK will train SIA associates on Camry processes. Parts and materials for the Indiana-built Camry will be sourced and procured by Toyota.

?We are pleased to further boost localization by moving Camry production in Japan to the United States. It?s a win-win situation for Toyota and SIA, and for our suppliers whose businesses will grow,? said Gary Convis, president of TMMK. ?This will be the same high quality and reliability that have made Camry the best-selling U.S. car. We have the highest confidence in SIA to help us continue to meet our customers? expectations.?

?For over 16 years SIA associates have been building high quality Subaru vehicles in Indiana,? said Tom Easterday, senior vice president of SIA. ?Today?s announcement that we will add production of the Toyota Camry at SIA in 2007 reaffirms that SIA has an outstanding workforce that is prepared to meet the challenges of a very competitive automotive market. All associates at SIA look forward to working closely with Toyota on this project.?

Currently, SIA builds the Subaru B9 Tribeca, Outback, Legacy and Baja. SIA is projected to produce about 126,000 Subarus in 2006. The Subaru B9 Tribeca will move to the production line where the Outback, Legacy and Baja are currently built to make room for the Camry.

Additional media contact:

Weston Sedgwick, Indiana Economic Development Corporation, 317/232-8873, wsedgwick@iedc.in.gov