ArvinMeritor Forms Korean Emissions Joint Venture

DETROIT, Aug. 29 /PRNewswire/ -- ArvinMeritor, Inc. today announced the formation of a 50-50 joint venture between its Light Vehicle Systems (LVS) business group and DongWon Precision Industrial Co., Ltd. The joint venture, named AD Tech Co., Ltd., will initially supply diesel particulate filters to light vehicle manufacturers in Korea facing stringent diesel emissions reduction legislation. It will also produce related exhaust system components.

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"This partnership increases ArvinMeritor's global emissions technologies footprint and also introduces our popular diesel particulate filter to a growing Korean market," said Michael Bleidt, vice president and general manager of LVS Emissions Technologies. "We are entering the third year of our strategic alliance with DongWon. Throughout this time, we have been impressed with their strong customer relationships and determination to deliver exceptional service at a competitive cost. Together, we believe we can both grow our emissions business in Korea."

"From this partnership, we anticipate robust business for AD Tech, based on the wide-reaching sales network and leading technology of ArvinMeritor. Also, AD Tech's future success will be a direct result of both companies' management expertise and creative direction," said Lee Seok-Woo, representative director of DongWon and CEO of AD Tech. He added, "Working together, we will strive to make AD Tech a successful company."

ArvinMeritor's Choi Byung-Chul will serve alongside DongWon's Lee as the joint venture's representative directors.

DongWon, located in Asan-si, Chungnam, Korea, posted $62 million in sales during fiscal year 2004. Mufflers are the main item produced by DongWon and are supplied for all GM Daewoo Auto & Technology Co. (GMDAT) vehicle models. In 2003, DongWon established an R&D Center for exhaust system research and development. More recently, DongWon has advanced its business in China and Vietnam.

ArvinMeritor's Light Vehicle Systems (LVS) business group posted $4.8 billion in sales during fiscal year 2004, and employs 17,000 people at 75 facilities in 23 countries. LVS -- a market leader in the product categories it serves -- supplies integrated systems and modules to the world's leading passenger car and light truck OEMs. With advanced technology and systems design expertise in apertures, undercarriage, wheel and emissions control, LVS combines high-quality components into cost-effective, performance-based solutions for virtually every car and light truck on the road today.

ArvinMeritor, Inc. is a premier $8 billion global supplier of a broad range of integrated systems, modules and components to the motor vehicle industry. The company serves light vehicle, commercial truck, trailer and specialty original equipment manufacturers and related aftermarkets. Headquartered in Troy, Mich., ArvinMeritor employs approximately 31,000 people at more than 120 manufacturing facilities in 25 countries. ArvinMeritor common stock is traded on the New York Stock Exchange under the ticker symbol ARM. For more information, visit the company's Web site at: http://www.arvinmeritor.com/ .

This press release contains statements relating to future results of the company (including certain projections and business trends) that are "forward- looking statements" as defined in the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those projected as a result of certain risks and uncertainties, including, but not limited to, global economic and market conditions; the demand for commercial, specialty and light vehicles for which the company supplies products; risks inherent in operating abroad (including foreign currency exchange rates and potential disruption of production and supply due to terrorist attacks or acts of aggression); availability and cost of raw materials, including steel; OEM program delays; demand for and market acceptance of new and existing products; successful development of new products; reliance on major OEM customers; labor relations of the company, its customers and suppliers; the financial condition of the company's suppliers and customers, including potential bankruptcies; successful integration of acquired or merged businesses; the ability to achieve the expected annual savings and synergies from past and future business combinations; success and timing of potential divestitures; potential impairment of long-lived assets, including goodwill; competitive product and pricing pressures; the amount of the company's debt; the ability of the company to access capital markets; credit ratings of the company's debt; the outcome of existing and any future legal proceedings, including any litigation with respect to environmental or asbestos-related matters; as well as other risks and uncertainties, including, but not limited to, those detailed from time to time in the filings of the company with the Securities and Exchange Commission.