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Johnson Controls reports 26% increase in fourth-quarter 2007, earnings per share from continuing operations

Geschrieben am 26-10-2007

Milwaukee, Wisc. (ots) - Johnson Controls, Inc. today reported
record sales and earnings for its 2007 fourth quarter. Diluted
earnings per share from continuing operations totaled $0.78, up 26%
from $0.62 last year.

Sales for the 2007 fourth quarter totaled $9.0 billion, up 11%
from $8.2 billion in 2006 as the company increased its share of its
global markets. Income from continuing operations was $469 million
versus $368 million last year, an increase of 27% as a result of the
higher revenues and increased operational efficiencies.

For the 2007 fiscal year, Johnson Controls sales totaled $34.6
billion compared with $32.2 billion for 2006, an increase of 7%.
Income from continuing operations increased 25% to $1.3 billion.
Diluted earnings per share from continuing operations in 2007 were
$2.16 versus $1.75. Excluding a non-recurring tax benefit in the
second quarter, 2007 diluted earnings per share from continuing
operations were $2.10. Fiscal year 2007 is the company's 61st
consecutive year of sales increases and 17th consecutive year of
earnings increases.

All earnings per share amounts reflect the company's 3-for-1 stock
split on October 2, 2007.

"We are pleased to deliver record results for the fourth quarter
and for the full fiscal year," said Chief Executive Officer Stephen
A. Roell. "We expect to continue to win share and grow at a faster
pace than our underlying industries through our innovation, cost
advantages and world-class quality."

He continued, "It is a core part of our company's culture to
understand customers' emerging needs and to deliver unique, practical
solutions. Our employees around the world continue to show an
outstanding commitment to our customers, and I thank them for another
record year."

Fourth Quarter Results

Building efficiency sales were $3.6 billion, up 15% compared with
2006 revenues of $3.1 billion. The increase reflects strong
commercial buildings markets globally and higher demand for the
company's solutions to improve energy efficiency and lower operating
costs in non-residential buildings. Segment income increased 23% to
$316 million from $257 million as a result of the higher revenues as
well as cost structure improvements associated with the company's
branch office network and manufacturing operations. The backlog of
uncompleted commercial systems and services contracts at September
30, 2007 was $4.2 billion, an increase of 14% over the prior year
amount, reflecting continued market share gains.

Automotive experience sales in the quarter were $4.2 billion, 3%
higher than $4.0 billion in 2006. North American sales increased 2%
and European sales rose 5%, approximately in line with overall
vehicle production levels. Sales in the Asia/Pacific region declined
3% due to lower volumes in Japan. Unconsolidated sales in China
increased 48%. Segment income was $183 million, up 24% from $148
million last year as a result of a substantial improvement in North
American profitability and a continued strong performance in Europe.

Power solutions sales increased 27%, to $1.3 billion from $1.0
billion last year due to higher unit prices resulting from the
pass-through of increased lead costs, as well as slightly higher unit
shipments. Segment income increased to $161 million, up 7% from $150
million in the 2006 fourth quarter due to the higher volume and
improved operational efficiencies.

The company said its net debt to total capitalization at September
30, 2007 was 30%, versus 35% at June 30, 2007.

2008 Outlook

On October 9, 2007, the company issued guidance on its expected
financial performance in 2008. Johnson Controls anticipates a sales
increase of 10%, to approximately $38 billion. Income from continuing
operations is estimated to increase approximately 18%, to $2.45 -
$2.50 per diluted share. The company said the strong performance will
be the result of its participation in growth markets, its exposure to
non-cyclical sectors, its global capabilities and technology
leadership as well as its cost discipline.

For the first quarter of 2008, the company expects diluted
earnings per share to increase 25% - 32% versus the 2007 first
quarter, to a range of $0.35 to $0.37.

"We have excellent visibility to our expected 2008 sales through
our large and growing backlogs of new business," Mr. Roell said. "We
are executing well on our growth strategies and expect a strong start
to 2008."

Johnson Controls, Inc. ("the Company") has made forward-looking
statements in this document pertaining to its financial results for
fiscal year 2008 and beyond that are based on preliminary data and
are subject to risks and uncertainties. All statements other than
statements of historical fact are statements that are or could be
deemed forward-looking statements and include terms such as
"outlook," "expectations," "estimates," or "forecast." For those
statements, the Company cautions that numerous important factors,
such as automotive vehicle production levels and schedules, energy
prices, the ability to mitigate the impact of higher raw material
costs, the strength of the U.S. or other economies, currency exchange
rates, cancellation of commercial contracts, changes to domestic and
foreign tax rates, labor interruptions as well as those factors
discussed in the Company's most recent Form 10-K filing (dated
December 5, 2006) could affect the Company's actual results and could
cause its actual consolidated results to differ materially from those
expressed in any forward-looking statement made by, or on behalf of,
the Company.

Johnson Controls (NYSE: JCI) is the global leader that brings
ingenuity to the places where people live, work and travel. By
integrating technologies, products and services, we create smart
environments that redefine the relationships between people and their
surroundings. Our team of 140,000 employees creates a more
comfortable, safe and sustainable world through our products and
services for more than 200 million vehicles, 12 million homes and one
million commercial buildings. Our commitment to sustainability drives
our environmental stewardship, good corporate citizenship in our
workplaces and communities, and the products and services we provide
to customers. For additional information, please visit
www.johnsoncontrols.com .

Originaltext: Johnson Controls GmbH
digital press kits: http://www.presseportal.de/pm/19526
press kits via RSS: http://www.presseportal.de/rss/pm_19526.rss2

Further information is available from:
Johnson Controls Gmbh
Automotive Experience
Industriestraße 20-30
51399 Burscheid
Germany

Astrid Schafmeister
Tel.: +49 2174 65-3189
Fax: +49 2174 65-3219
E-mail: astrid.schafmeister@jci.com

Ina Longwitz
Tel.: +49 2174 65-4343
E-mail: ina.longwitz@jci.com


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