FOR IMMEDIATE RELEASE
January 14, 2002

2003 TOYOTA COROLLA: THE NEW VALUE STANDARD IN COMPACT SEDANS

(MONTREAL) - Completely redesigned for 2003, the Toyota Corolla provides more room, more power, more comfort and more safety on an all-new platform. This unbeatable combination brings a whole new standard of excellence to what is already the best-selling passenger car in the world. Along with a remarkable decrease in price, the 2003 Toyota Corolla sets a new benchmark for value in the competitive compact sedan segment.

With the all-new Toyota Matrix, which uses the same basic platform to create a dramatically different vehicle, the Corolla is part of a double play to re-establish Toyota dominance in a class crowded with stylish and well-equipped vehicles at surprisingly low prices. Consistent with engineering and manufacturing improvements, the starting price of the 2003 Corolla CE model is $475 less than the 2002 model, $15,290 versus $15,765.

"Since its introduction in 1966, Corolla has represented the quality, reliability, durability and value that defines Toyota engineering", said Toyota Motor Corporation Chief Engineer of Corolla Takeshi Yoshida. "What became clear as we began the process of redesigning, however, was that the goalposts have moved considerably. To reclaim class leadership, the new Corolla sedan meets an exacting new set of criteria in both style and substance. The result is an affordable car to satisfy the highest standards of current owners as well as a whole new generation of demanding drivers."

The changes to Corolla began with the development strategy itself. The process, which Yoshida calls oobeya, or "big, open office," is comparable to open engineering, but even more comprehensive. Every element of the design process was pulled forward so that all aspects of vehicle development could be discussed and analyzed at once. Incorporating the knowledge and experience of the entire development team early in the process created a more accurate blueprint of the final vehicle. The results included zero design changes from the final blueprints, fewer pre-production prototypes and reduced development costs - a saving that was passed along to customers in the form of added value.

"For North Americans, creation of the all new Corolla has added significance because this car has been designed specifically with the North American market in mind," said Tony Wearing, Group Vice President in charge of Vehicle Sales and Marketing of Toyota Canada Inc. (TCI). "This continent now accounts for the largest percentage of Toyota's total sales volume. Therefore the decision was made to strongly bias Corolla development to North American needs and tastes. This is a true world platform, with minor changes made to reflect regional tastes for the European and Asian markets. But the starting point in each case is a vehicle developed expressly for Corolla's biggest fans - the drivers of North America."

That this is a very different Corolla is apparent at first glance. The new style is more upscale and more muscular than its predecessor. Longer, wider and taller, the designers also moved the A-pillars forward and the C-pillars rearward to create more interior space. Outside, this emphasizes the substantial presence of the silhouette.

Inside, these design changes create a new quality of roominess as well as ease of access. Passengers sit farther apart with more hip and headroom. The hip-point is higher, making entries and exits easier, and there is unhindered visibility in all directions.

Powerful, Effective and Efficient
Whether customers choose the Corolla CE, LE or Sport, it will be powered by Toyota's
130 horsepower, 1ZZ-FE 1.8-litre, 4-cylinder engine. Also the engine of choice for the Matrix and Celica GT sports car, this 16-valve powerplant is equipped with multi-port electronic fuel injection and Toyota's sophisticated Variable Valve Timing with intelligence (VVT-i). The 1ZZ-FE produces 130 horsepower at 6,000 rpm, an increase of five horsepower over the previous Corolla, and 125 lb/ft of torque at 4,200 rpm.

Horsepower is enhanced by the use of a larger diameter throttle body. Torque is increased by the use of a new, large plenum intake manifold. The reinforced plastic manifold conducts less engine heat to the intake air, improving volumetric efficiency. The ZZ engine family was also designed for low maintenance and long service life using a low mass valve train with a self-adjusting timing chain. A two-piece engine block of cast aluminum uses a substantial "ladder" casting to support the main crankshaft, reducing noise, vibration and harshness (NVH).

Iridium-tipped spark plugs have a 192,000 km service life, and a new Toyota exhaust system catalyst design provides faster warm-up and improved catalyst effectiveness. In fact, the engine is so efficient it meets the stringent requirements for Ultra Low Emission Vehicle (ULEV) rating.

A 5-speed manual overdrive transmission is standard, and an advanced, electronically-controlled 4-speed automatic is optional across the lineup.

Smooth ride and lively performance are further enhanced with a finely-tuned suspension system that is both stable and responsive. MacPherson struts and an anti-roll bar in front, and a twist-beam with anti-roll bar in the rear, combine with linear control valves in the shock absorbers at all four corners to increase ride comfort without sacrificing suspension control. Special toe-control bushings stabilize handling by combining lateral cornering forces with longitudinal braking forces to reduce toe-out under cornering and increase overall stability.

Power steering is rack-and-pinion, and Toyota engineers mounted the steering rack to the sub-frame rather than to the body shell, for more direct steering feedback.

The CE and Sport Corollas are outfitted with power-assisted brakes that use new, larger front ventilated discs and rear drums. Corolla LE is also equipped with a 4-sensor Anti-Lock Brake System (ABS) and Electronic Brake Force Distribution (EBD) to take advantage of the available braking traction at each wheel.

New Body Puts Strength Where It's Needed
Thanks to the new platform, the 2003 Corolla boasts much greater interior space. In addition, it is built to finish tolerances, inside and out, that equal the previous Lexus standard. The all-new body, produced with computer-aided design and engineering, meets a whole new standard of protection as well as comfort.

High strength sheet metal maximizes body rigidity while minimizing body weight. To increase rigidity and reduce NVH, reinforcements have been added to the roof, rocker panels, roof side rail and pillars. Additional reinforcements reduce vibration in the dash panel and the floor tunnel, and reinforcements in the cowl strengthen the area between the A-pillar and front suspension tower.

The effectiveness of the front crush zone and side impact protection are improved with the use of "tailored blank" technology, which uses metal of varying thickness to better disperse and manage impact energy. Side impact forces are further dispersed throughout the body via pillar reinforcements, side impact protection beams and floor cross members. Side impact beams are mounted in each front and rear door along with a head impact protection structure to further cushion occupants in a collision.

Equipped For Every Taste and Budget
Enhancing comfort and functionality, each Corolla trim level is provided with its own unique combination of materials, finishes and standard features.

The Corolla CE is provided with such standard amenities as:
" deluxe fabric interior,
" tilt steering wheel,
" 4-speaker AM/FM/CD sound system,
" power remote outside mirrors,
" 60/40 split folding rear seat, and
" digital dual-trip odometer with outside temperature gauge.

To this, the Corolla Sport adds:
" coloured outside mirrors and bodyside molding,
" chrome interior finishes and leather-wrapped steering wheel,
" rear spoiler,
" skirt package,
" aluminum alloy wheels,
" fog lamps, and
" unique black interior.

The Corolla LE offers its own unique style with:
" premium fabric interior,
" vertical driver seat height adjustment,
" silhouette lit instrument cluster faces,
" 6-speaker stereo system,
" colour-keyed side body moldings, and outside mirrors,
" power door locks,
" aluminum alloy wheels,
" keyless entry with lockout protection,
" power windows with driver-side auto-down,
" simulated wood-grain trim, and
" cruise control.

The Corolla CE can be equipped with an option package that includes air conditioning, an air filter to collect dust and pollen, keyless entry and power door locks. Power windows, cruise control and a power moonroof are optional on the Corolla Sport. The Corolla LE turns comfort into luxury with an option package including leather seats and leather-wrapped steering wheel, power moonroof, front side airbags, fog lamps, chrome inside door handles, electrochromic rearview mirror with digital compass, and an anti-theft system.

Dual-stage driver and front passenger airbags are standard, and seat-mounted side airbags are optional on the Corolla LE. Three-point seatbelts are standard for all occupants, and front seatbelts have pretensioners and force limiters as well as height-adjustable shoulder anchors. The back seat is equipped with ISO-FIX child restraint seat anchors and child protection locks for added security.

The new Corolla will be built exclusively for Canada at the award-winning Toyota Motor Manufacturing Canada (TMMC) in Cambridge, Ontario. Built on the same assembly line as the all-new Toyota Matrix, this next-generation technology positions Canada and TMMC in the forefront of Toyota's future product development.

Every Toyota is equipped with an industry-leading, no deductible, no transfer fee, comprehensive warranty that covers the entire vehicle for 3 years/60,000 kilometres. Powertrain components are covered for 5 years/100,000 kilometres, major emission control components for 8 years/130,000 kilometres and corrosion perforation for 5 years with unlimited distance. Optional Extended Care Protection (ECP) at four levels is available for up to 6 years/200,000 kilometres.

Toyota also provides 24-hour Roadside Assistance for all models. Help is just a phone call away at 1-888-TOYOTA-8. Providing roadside emergency services ranging from a battery boost to winching, Toyota's Roadside Assistance program also provides for accident towing - a feature unique to Toyota and Lexus.