REVENUE STRATEGY - HONDA

1. Honda will launch a hybrid-only model in 2009:
It will produce 200,000 of the new hybrids per year in Japan
It will sell them initially in North America, Europe and Japan.
It will offer the cars at a "more affordable price level" than currently available.
2. It will launch its first-ever hybrid sports car, based on the CR-Z concept car.
3. It will continue to look to fuel cell technology.
4. It will also begin leasing a small number of its FCX Clarity hydrogen fuel-cell vehicles in Southern California for $600 a month.
5. It will introduce its new, clean, diesel engine technology into the U.S. in 2009
6. It is expanding capacity:
It is opening a new factory in Indiana in the US next fall.
It doubled capacity at its plant in Bangalore, India, to 100,000 this year and has begun building a second auto plant, which will be operational from 2009.
It will begin production at another new plant in Thailand in the second half of next year.
It is adding capacity at its Brazilian plant
It began construction of new factory in Argentina last month.
7. It does not have high expectations for plug-in hybrids, which can be charged overnight using a home electricity supply.

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