TROY, Mich., and LUMMEN, Belgium, May 2 /PRNewswire/ -- Delphi Corp. (NYSE: DPH) and Belgium-based Bosal Group announced today a new strategic alliance to offer complete exhaust systems for the global original equipment (OE) market. (Logo: http://www.newscom.com/cgi-bin/prnh/20020315/DEF002LOGO ) The non-equity based alliance, to be known as Bosal Delphi Complete Exhaust Systems, will bring together the specific expertise, facilities and resources of each party to offer a total customer solution around the globe for any vehicle program and all current fuel options. Delphi has extensive experience and resources in the design and manufacture of the "hot end" (manifold and catalyst, including manifold converters, diesel converters and spinforming technology), with Bosal recognized as a leader in the design and development of the "cold end" (from intermediate muffler to tailpipe.) Both companies are also recognized for their innovative approach and commitment to advanced technologies, such as Delphi's fragile substrate retention systems and Bosal's breakthrough cold-end innovation, the Lightweight Exhaust System. The alliance will retain and nurture current customer relationships, while future customers will access the alliance through one single initial point of contact. Bosal and Delphi will also cooperate through novel and cost-effective manufacturing arrangements which will allow each party to better meet customer supply contracts without the need for major infrastructure investment. "This is a very innovative and exciting alliance which will deliver significant added value to customers of both Delphi and Bosal," said Karel Bos (1961), CEO, Bosal Group. "The alliance is an excellent technical, commercial and geographical 'fit', enabling us to respond faster, more cost-effectively and completely for our customers around the world. It will also open up a wider customer base for our breakthrough cold end innovations which are delivering significant weight savings and other related benefits." "We welcome this alliance with Bosal, an independent Tier 1 supplier with recognized expertise in cold end exhaust applications," said John Fuerst, Delphi's exhaust systems business line executive. "It will help us respond better to the needs of our global customer base for complete exhaust systems, by providing a single global point of access to an unrivalled wealth of expertise and resources, yet delivering locally through our shared infrastructure." The alliance will become effective upon completion of all relevant formalities under competition laws, including obtaining any required approvals from governmental authorities. Both parties will begin making the necessary logistical and transitional activities to make the alliance seamless to customers, with scheduled completion in mid-2005. About Bosal Group Bosal is one of the world's leading manufacturers of car exhaust systems. Bosal also produces catalytic converters, tow bars, roof bars, jacks, precision steel tubing and warehouse racking systems. Established in 1923 in Alkmaar, the group is Dutch registered, headquartered in Lummen, Belgium. The annual turnover in 2004 was in excess of euro 835 million. The Bosal Group employs more than 6,200 people and has 29 manufacturing plants and 15 distribution centres. For more information: http://www.bosal.com About Delphi For more information about Delphi and its operating subsidiaries, visit http://www.delphi.com/media . Delphi Forward Looking Statements All statements contained or incorporated in this press release which address operating performance, events or developments that we expect or anticipate may occur in the future (including statements relating to future sales or earnings expectations, savings expected as a result of our global restructurings or other initiatives, portfolio restructuring plans, volume growth, awarded sales contracts and earnings per share expectations or statements expressing general optimism about future operating results) are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are made on the basis of management's current views and assumptions with respect to future events. Important factors, risks and uncertainties which may cause actual results to differ from those expressed in our forward-looking statements are discussed in detail in our filings with the Securities and Exchange Commission, including our annual report on Form 10-K for the year ended December 31, 2003 and our disclosures filed regarding the status of the ongoing internal investigation being conducted by the audit committee of the Company's board of directors. In particular, the achievement of projected levels of revenue, earnings, cash flow and debt levels will depend on our ability to execute our portfolio and other global restructuring plans in a manner which satisfactorily addresses any resultant antitrust or labor issues and customer concerns, any contingent liabilities related to divestitures or integration costs associated with acquisitions, and other matters; the success of our efforts to diversify our customer base and still maintain existing GM business; the continued protection and exploitation of our intellectual property to develop new products and enter new markets; and our ability to capture expected benefits of our cost reduction initiatives so as to maintain flexibility to respond to adverse and cyclical changes in general economic conditions and in the automotive industry in each market we operate, including customer cost reduction initiatives, potential increases in warranty and raw material costs, pension contributions, healthcare costs, disruptions in the labor, commodities or transportation markets caused by terrorism or war and other changes in the political and regulatory environments where we do business. Delphi does not intend or assume any obligation to update any of these forward-looking statements.
SOURCE Delphi Corporation; Bosal Group