BorgWarner Divests Fuel Systems Unit

Apr 17, 2001, 01:00 ET from BorgWarner, Inc.

    CHICAGO, April 17 /PRNewswire/ -- BorgWarner Inc. (NYSE:   BWA) today
 announced that it has completed the sale of its fuel systems business to an
 investor group led by TMB Industries, a private equity group.  Terms of the
 transaction were not disclosed.
     The fuel systems unit was part of the Vehicle Products business of Kuhlman
 Corporation that BorgWarner acquired in March of 1999.  The unit is among a
 number of solid businesses that have been divested since the acquisition
 because they did not fit into BorgWarner's strategic focus on powertrain
 technology.
     Fuel Systems is based in Grand Rapids, Michigan and employs approximately
 500 people.  With annual revenues of approximately $75 million, the business
 is a leading North American independent supplier of fuel tanks and related
 components for medium and heavy-duty trucks.  Its truck original equipment
 manufacturer (OEM) customers include Navistar International, Mack,
 Freightliner, Ford and General Motors.
     Chicago-based BorgWarner (NYSE:   BWA) is a product leader in highly
 engineered components and systems for vehicle powertrain applications
 worldwide.  The company operates manufacturing and technical facilities in 46
 locations in 13 countries.  Customers include Ford, DaimlerChrysler, General
 Motors, Toyota, Caterpillar, Navistar International and VW Group.  The
 Internet address for BorgWarner is http://www.bwauto.com .  For additional
 information, contact BorgWarner Corporate Communications at 312-322-8500.
     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, 2000.
 
 

SOURCE BorgWarner, Inc.
    CHICAGO, April 17 /PRNewswire/ -- BorgWarner Inc. (NYSE:   BWA) today
 announced that it has completed the sale of its fuel systems business to an
 investor group led by TMB Industries, a private equity group.  Terms of the
 transaction were not disclosed.
     The fuel systems unit was part of the Vehicle Products business of Kuhlman
 Corporation that BorgWarner acquired in March of 1999.  The unit is among a
 number of solid businesses that have been divested since the acquisition
 because they did not fit into BorgWarner's strategic focus on powertrain
 technology.
     Fuel Systems is based in Grand Rapids, Michigan and employs approximately
 500 people.  With annual revenues of approximately $75 million, the business
 is a leading North American independent supplier of fuel tanks and related
 components for medium and heavy-duty trucks.  Its truck original equipment
 manufacturer (OEM) customers include Navistar International, Mack,
 Freightliner, Ford and General Motors.
     Chicago-based BorgWarner (NYSE:   BWA) is a product leader in highly
 engineered components and systems for vehicle powertrain applications
 worldwide.  The company operates manufacturing and technical facilities in 46
 locations in 13 countries.  Customers include Ford, DaimlerChrysler, General
 Motors, Toyota, Caterpillar, Navistar International and VW Group.  The
 Internet address for BorgWarner is http://www.bwauto.com .  For additional
 information, contact BorgWarner Corporate Communications at 312-322-8500.
     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, 2000.
 
 SOURCE  BorgWarner, Inc.

RELATED LINKS

http://www.bwauto.com