FARMINGTON HILLS, Mich., Dec. 4, 1997 -- Initially available in the United States only as a factory-installed option on new BMW 5 and 7 Series automobiles, a retailer-installed, BMW-approved accessory navigation system now is available for 5 and 7 Series vehicles.

Developed by BMW and Philips Car Systems, a division of Philips Electronics, the BMW Accessory Navigation System has been specifically engineered for these cars, according to Rob Mitchell, BMW of North America, Inc. "We've BMW-branded the five-inch LCD monitor, navigation computer and remote control, and we've integrated the voice module with the car's sound system. This allows a driver to hear turn recommendations over muted signals from the tape deck, CD player or radio. We've also designed a monitor mount that meets crash protection requirements even if the monitor is removed," Mitchell said. In addition, a dedicated wiring harness simplifies installation.

The BMW Accessory Navigation System retails for $2,495 plus installation, and is available only through approved BMW retailers in the continental United States. Price includes a map database on CD-ROM and the first semiannual update. BMW provides an exclusive

4-year/50,000 mile warranty when the system is installed at the time of initial vehicle delivery.

The system is based on Philips' CARiN (CAR Information and Navigation) system, originally introduced in 1994 as the BMW On-Board Navigation System, a factory-installed option for the European BMW 7 Series. The On-Board system was reconfigured for the U.S. market and introduced for both 5 and 7 Series as a model year 1997 option.

"The BMW Accessory Navigation System fulfills two basic functions," explained Francis J. Dance, account manager, Philips Car Systems USA. "It is both a self-contained navigation system and an information system that utilizes a digitized map database. Regional maps for the 48 contiguous states are contained on seven CD-ROM disks along with destination data for banks, hotels, restaurants, service stations, attractions and, in the case of BMW, its U.S. retailers. The database covers major highways and county roads and provides complete, detailed mapping of major metropolitan areas from Boston to San Diego and Detroit to Miami," said Dance.

About the size of a mobile CD changer, the navigation computer is sufficiently compact to mount under the rear deck in the trunk. The computer features an eight-channel Global Positioning System (GPS) receiver and integrated gyroscope, thus enabling the unit to determine the vehicle's location anywhere in the world. The GPS sensor is mounted within line-of-sight of at least three of 24 geosynchronous GPS satellites to provide vehicle location, direction and route.

Using a combination of dead reckoning -- a proven method of calculating position that ocean-goers have used for centuries -- and data received from (GPS) satellites, the computer calculates best routes to destinations and generates an icon to continuously show the vehicle's position on the map.

"Once a destination is input before a journey, drivers can listen to the system's audio instructions while driving and occasionally glance at the screen. The system gives convenient advance notice of turns and a pleasant announcement upon arrival," said Dance.

To input destinations, the driver may use the keyboard function; locate the destination using the map and cursor; or call up the destination from a data bank that includes up to 40 destination categories stored on CD-ROM. A personal destination memory can store up to 100 favorite addresses. The most recent 10 addresses are stored automatically. Once the destination is entered, the BMW Accessory Navigation System provides audible and visual directions with advance notice. The user may customize the route selection by choosing one of four route preferences.

If the driver encounters a traffic jam or road construction, the BMW Accessory Navigation System allows the user, at the touch of a button , to request an alternate route, or it simply configures a new route as soon as the driver veers from the original route.

The BMW Accessory Navigation System can even tell the user where he or she is in an emergency. The screen provides location of the vehicle, local emergency numbers and a special roadside assistance number. The driver dials the number via a separate cellular or land line telephone and verbally communicates the screen's information to the response center. Using a special map database, the center can locate the vehicle precisely and dispatch the appropriate service. The BMW Roadside Assistance package is included with the navigation system for the balance of the original 4-year/50,000-mile warranty. With this, help is just a phone call away.

"The BMW navigation system represents a bold step forward in the development of Intelligent Transportation Systems in North America. It provides valuable information to the vehicle's occupants, enhancing their feelings of safety and security, plus, using the system is fun," said Mitchell.

Philips Electronics of the Netherlands is among the world's largest suppliers of electronic systems and products to the automotive industry. Its global automotive capabilities include vehicle navigation, car audio systems and components, electronic and mechanical systems and components, semiconductors, lamps, road lighting and traffic control. Quoted on the NYSE, London, Frankfurt, Amsterdam and other stock exchanges, it is also a world leader in lighting, color television sets, electric shavers and recorded music (PolyGram).