MUMBAI, 5th of February 2007

Tata Motors, in keeping with its role as the leading company in India for automotive R&D, has signed an agreement, in yet another exciting engineering and development effort, with MDI of France for application in India of MDI’s path-breaking technology for engines powered by air.

The MDI Group is headed by Mr. Guy Negre, who founded the company in the 1990s in pursuit of his dream to pioneer an engine using just compressed air as fuel – which may be the ultimate environment-friendly engine yet. Besides, the engine is efficient, cost-effective, scalable, and capable of other applications like power generation.

The agreement between Tata Motors and MDI envisages Tata’s supporting further development and refinement of the technology, and its application and licensing for India.

Commenting on the agreement, Mr. Guy Negre has said, “MDI has for many years been engaged in developing environment-friendly engines. MDI is happy to conclude this agreement with Tata Motors and work together with this important and experienced industrial group to develop a new and cost-saving technology for various applications for the Indian market that meets with severe regulations for environmental protection. We are continuing the development with our own business concept of licensing car manufacturers in other parts of the world where the production is located close to the markets. We have also developed this new technology for other applications where cost competitiveness combined with respect for environmental questions has our priority.”

- About MDI
MDI is a small, family-controlled company located at Carros, near Nice (Southern France) where Mr. Guy Negre and Mr. Cyril Nègre, together with their technical team, have developed a new engine technology with the purpose of economising energy and respect severe ecological requirements – at competitive costs.

- About Tata Motors
Tata Motors is India's largest automobile company, with revenues of US$ 5.5 billion in 2005-06. With over 4 million Tata vehicles plying in India, it is the leader in commercial vehicles and the second largest in passenger vehicles. It is also the world's fifth largest medium and heavy truck manufacturer and the second largest heavy bus manufacturer. Tata cars, buses and trucks are being marketed in several countries in Europe, Africa, the Middle East, South Asia, and South East Asia and in Australia. Tata Motors and Fiat Auto have announced the formation of an industrial joint venture in India to manufacture passenger cars, engines and transmissions for the Indian and overseas markets. Tata Motors already distributes Fiat-branded cars in India. The company’s international footprint include Tata Daewoo Commercial Vehicle Co. Ltd. in South Korea; Hispano Carrocera, a bus and coach manufacturer of Spain in which the company has a 21% stake; a joint venture with Marcopolo, the Brazil-based body-builder of buses and coaches; and a joint venture with Thonburi Automotive Assembly Plant Company of Thailand to manufacture and market pickup vehicles in Thailand. Tata Motors has research centres in India, the UK, and in its subsidiary and associate companies in South Korea and Spain.

I wonder how well they would work in our winters...still, if the technology works, it should be very successful.

I also have to agree with MrCanada, they need a different design!

Meh, funny cars can pop off their shell quick enough. Design don't worry me none it's what's under the hood that counts.

I mean seriously. We are not talkin about a goddam Lada or Yugo here. It's a car that will save you at LEAST $60 a week and is able to travel from BC to Ontario on a single tank. With that cash you can make it look as 'gay' as you want.