Borg-Warner Automotive Opens Third European Technical Center

Will Develop Shifting Systems for New Generations of Automated Transmissions Chicago (PROTEXT) - Borg-Warner Automotive (NYSE: BWA) has opened a third technical center in Europe, the Transmission Advanced Product Development Center for Europe (TAPD-E) near Heidelberg, Germany. The Center's focus will be on advanced product development activity for clutch systems and control modules for automatic and automated manual transmissions for the European market. "The expertise of two of BWA's five operating groups -- Air/Fluid Systems and Automatic Transmission Systems -- will be combined at the Center to develop shifting systems for new generations of automated transmissions," said John F. Fiedler, chairman and CEO, Borg-Warner Automotive. "The opening of the Center is tangible evidence of BWA's commitment to product leadership, and is a clear example of the positive results we are achieving with our increasingly cross-business approach to innovation," he said. Initially, 50 engineers and technicians will be based at the Center. Fiedler said that number is expected to increase significantly during the next five years. BWA expects to more than double the size of its business in Europe from $357 million to more than $900 million. Fiedler said this growth will be driven by three factors: market trends that are expected to produce a dramatic increase in the application of automated shifting transmissions; significantly increased use of turbochargers and chain-driven engine timing systems; and increases in sales of all-wheel drive vehicles. "As a global technology leader in all of these product areas, we are in an optimum position to make the most of opportunities presented by the growing European market," Fiedler said. "The new Center will be a key element in our ability to do so with maximum efficiency and effectiveness, as we continue to sharpen our focus on improving fuel economy, reducing emissions and enhancing safety and convenience." BWA's newest European technical center reflects the company's expanding global advanced technology network. Others include Morse TEC Europe's headquarters in Arcore, Italy, at which engine timing systems and powertrain drive chains are produced; and the European technical center for the newly formed BWA Turbo Systems group, which is located near the Turbo Systems manufacturing facility in Kirchheimbolanden, Germany. Chicago-based Borg-Warner Automotive, Inc. is a product leader in highly engineered components and systems for vehicle powertrain applications worldwide. The company operates 54 manufacturing and technical facilities in 13 countries. Customers include Ford, DaimlerChrysler, General Motors, Toyota, Caterpillar, Navistar, VW, ZF, Renault and PSA. The Internet address for Borg-Warner Automotive is www.bwauto.com . Statements contained in this news release may contain forward- looking statements as contemplated by the 1995 Private Securities Litigation Reform Act that are based on management's current expectations, estimates and projections. Words such as "expects," "anticipates," "intends," "plans," "believes," "estimates," variations of such words and similar expressions are intended to identify such forward-looking statements. Forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from those projected or implied in the forward-looking statements. Such risks and uncertainties include: fluctuations in domestic or foreign automotive production, the continued use of outside suppliers by original equipment manufacturers, fluctuations in demand for vehicles containing the Company's products, general economic conditions, as well as other risks detailed in the Company's filings with the Securities and Exchange Commission, including the Cautionary Statements filed as Exhibit 99.1 to the Form 10-K for the fiscal year ended December 31, 1998. Note: Borg-Warner Automotive press releases are available on the Internet at http://www.bwauto.com or via Company News OnCall: http://www.prnewswire.com, or via fax, 800-758-5804, ext. 120941. ots Original Text Service: Borg Warner Automotive Internet: http://www.newsaktuell.de Contact: Beth Feikens, Manager Corporate Communications of Borg-Warner Automotive (USA) 248-458- 2915 Company News On-Call: http://www.prnewswire.com/comp/120941.html or Fax: (USA) 800- 758-5804, ext. 120941 Web site: http://www.bwauto.com Subscribers please note that material bearing the slug "PROTEXT" is not part of CTK's news service and is not to be published under the "CTK" slug. Protext is a commercial service providing distribution of press releases from clients, who are identified in the text of Protext reports and who bear full responsibility for their contents. PROTEXT