BorgWarner Turbo Systems Capitalizes on Diesel's Popularity in Europe; Will Supply Turbos to Renault for New-Generation Diesel Engines

Apr 10, 2001, 01:00 ET from BorgWarner

    CHICAGO, April 10 /PRNewswire/ -- BorgWarner Turbo Systems has developed a
 new range of turbochargers for a new generation of small diesel engines, and
 will supply the turbochargers to Renault over the next several years under a
 contract worth approximately $125 million.
     The new turbochargers, called KP 35, are compact, powerful units designed
 for smaller 1.4-liter diesel engines.  Production of the engines for Renault
 has begun for its 2001 model-year Clio and Kangoo vehicles.  The turbochargers
 will be produced at BorgWarner's plant in Kirchheimbolanden, Germany.
     "The use of the smaller engines by Renault and other manufacturers
 reflects a trend in Europe towards greater fuel efficiency and lower
 emissions," said Lee Wilson, president, BorgWarner Turbo Systems.  "Our new KP
 35 turbocharger is a key factor in enabling vehicle makers to meet the
 challenge of achieving the government-mandated environmental goals with
 downsized engines, without sacrificing performance."
     The use of turbochargers on European passenger cars, and on almost all
 diesel passenger cars, has become a state-of-the-art application.  The
 European demand for diesel engines has accelerated significantly as the
 technology has improved.  Diesel engines were in 32% of cars sold in Europe
 last year; the number should reach 40% by 2003.
     "These diesel engines are already clearly superior to naturally aspirated
 gasoline engines," said Hans-Peter Schmalzl, who oversees development of
 passenger car turbochargers at BorgWarner Turbo Systems Worldwide Headquarters
 in Kirchheimbolanden.  "We believe this trend will continue, and that
 significant advances are still in store where performance is concerned."
     BorgWarner Turbo Systems is a leading manufacturer of turbochargers for
 passenger cars and light commercial vehicles.  The company is leveraging this
 experience and technological leadership in its development efforts to achieve
 greater innovation, costs savings and shorter times to market.
     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
    CHICAGO, April 10 /PRNewswire/ -- BorgWarner Turbo Systems has developed a
 new range of turbochargers for a new generation of small diesel engines, and
 will supply the turbochargers to Renault over the next several years under a
 contract worth approximately $125 million.
     The new turbochargers, called KP 35, are compact, powerful units designed
 for smaller 1.4-liter diesel engines.  Production of the engines for Renault
 has begun for its 2001 model-year Clio and Kangoo vehicles.  The turbochargers
 will be produced at BorgWarner's plant in Kirchheimbolanden, Germany.
     "The use of the smaller engines by Renault and other manufacturers
 reflects a trend in Europe towards greater fuel efficiency and lower
 emissions," said Lee Wilson, president, BorgWarner Turbo Systems.  "Our new KP
 35 turbocharger is a key factor in enabling vehicle makers to meet the
 challenge of achieving the government-mandated environmental goals with
 downsized engines, without sacrificing performance."
     The use of turbochargers on European passenger cars, and on almost all
 diesel passenger cars, has become a state-of-the-art application.  The
 European demand for diesel engines has accelerated significantly as the
 technology has improved.  Diesel engines were in 32% of cars sold in Europe
 last year; the number should reach 40% by 2003.
     "These diesel engines are already clearly superior to naturally aspirated
 gasoline engines," said Hans-Peter Schmalzl, who oversees development of
 passenger car turbochargers at BorgWarner Turbo Systems Worldwide Headquarters
 in Kirchheimbolanden.  "We believe this trend will continue, and that
 significant advances are still in store where performance is concerned."
     BorgWarner Turbo Systems is a leading manufacturer of turbochargers for
 passenger cars and light commercial vehicles.  The company is leveraging this
 experience and technological leadership in its development efforts to achieve
 greater innovation, costs savings and shorter times to market.
     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

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http://www.bwauto.com