Visteon Reports First Quarter 1999 Earnings of $208

Million, Up 10 Percent Dearborn, Mich. (PROTEXT) - Visteon Automotive Systems isreporting a first quarter 1999 net income of $208 million, up 10percent from a year ago. Revenue for the first quarter was $4.8billion, up 9 percent from 1998, with an after-tax return onsales of 4.3 percent. "Visteon has extended its year-over-year profit performanceimprovement to five consecutive quarters," said Craig Muhlhauser,president, Visteon Automotive Systems. "This demonstrates thecommitment of our entire team to deliver on our customer promiseand increase shareholder value." Visteon is agressively pursuing its 1999 milestone of securing$2 billion in new forward year business contracts. To date, over$700 million in new business has been awarded with customersthrougout the world including 33 percent with non-Ford (NYSE: F)customers. By comparison, Visteon's 1998 non-Ford sales were lessthan 10 percent. In addition, Visteon continues to expand itsglobal customer base with 27 percent of the new business outsideof North America. "Visteon is making significant progress on its long-term top-line growth objective and its target to expand its non-Fordcustomer base," said Muhlhauser. With a global system of nearly 100 technical, manufacturing,sales and service facilities located in 20 countries, Visteon isleveraging the talents of 74,000 employees to deliver innovative,consumer-driven automotive systems solutions to its customers.

Consolidated Statement of Income

First Quarter

1999

1998

(Mils.)

(Mils.) Revenue

$4,772

$4,378 Cost and expenses

Cost of goods sold

4,297

3,932

Selling, administrative, and other expenses173

140 Total costs and expenses

$4,470$4,072 Operating income

$302

$306 Interest

Interest income

22

5

Interest expense

23

18

Net interest expense

$(1)

$(13) Equity in net income of affiliated companies

16

(4)

Income before taxes

$317

$289 Provision for income taxes

113

102 Income before minority interests

$204

$187 Minority interests in net income of subsidiaries

(4)

(2)

Net income

$208

$189 Memo: After-tax return on sales

4.3%

4.3% otsOriginal Text Service: Visteon Automotive Systems Internet:http://www.newsaktuell.de Contact: Media Inquiries: DeniseBither, (USA) 313-248-4063, dbither@visteon.com, or AnalystInquiries: Kent Niederhofer, (USA) 313-390-1467,kniederh@visteon.com, both of Visteon Web site:http://media.visteon.com

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