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ZF Nanjing Completes Commercial Craft Transmission

Maritime Activity Reports, Inc.

July 6, 2007

On June 5, ZF Nanjing Marine Propulsion announced that it has completed testing of the first production transmission at its new facility in Nanjing, China. This milestone came less than one year after the joint venture agreement was signed between Nanjing Highspeed & Accurate Gear Group Co. Ltd. (NGC) and ZF Marine, forming ZF Nanjing Marine Propulsion (ZF NMP). In this brief timeframe, a brand-new, two-building facility was erected for the assembly and testing of gearboxes, along with the assembly of controllable pitch propellers.

The first transmission, a ZF W33100NR with PTO 3, weighs approximately 6 tons and is designed to transmit 5000HP in a continuous duty application. All components for the transmission are produced locally by NGC to ZF Marine's strict quality standards.

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