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Hitachi, Eaton in hybrid system deal

October 20, 2008 - by David Ehrlich, Cleantech Group

Tokyo-based Hitachi (NYSE: HIT) announced today that it received an order from Cleveland's Eaton (NYSE: ETN), a power management company, to supply parts for hybrid power systems.

Under the contract, Hitachi will supply motors, inverters, lithium-ion batteries and other components for Eaton's hybrid power systems to be delivered through 2011. Financial terms of the deal were not disclosed.

Hitachi said that commercial vehicles using Eaton's hybrid system are expected to be rolled out in markets in North America, Europe and Asia.

"We're pleased to have Hitachi as a supplier and collaborator in the introduction of hybrid electric power to the world's commercial vehicle fleets," said Kevin Beaty, business unit manager for Eaton's hybrid power business.

Eaton first delivered a hybrid power system using Hitachi components to commercial vehicle manufacturers in 2005. According to Hitachi, the hybrid system is already in use in commercial vehicles in North America and China in package delivery vans, medium-duty pickup and delivery operations, utility repair, city passenger transit and other applications.

In 2006, Eaton said it had been selected by Ford Motor (NYSE: F) to provide advanced air delivery compressors for the automaker's FreedomCAR and Fuel Partnership fuel cell demonstration program (see Ford selects Eaton for fuel cell vehicle air compressors).

Partners in the FreedomCAR and Fuel Partnership include the U.S. Department of Energy and the U.S. Council for Automotive Research, an umbrella organization for collaborative research among Chrysler, Ford and General Motors (NYSE: GM).

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