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TRW Subsidiary Settles Antitrust Case with U.S. Department of Justice


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LIVONIA, MI--July 30, 2012:  TRW Automotive Holdings Corp. , the global leader in active and passive safety systems, today announced that its German subsidiary, TRW Deutschland Holding GmbH, has entered into a settlement with the U.S. Department of Justice ("DOJ") regarding certain antitrust violations. 

The subsidiary has agreed to plead guilty to one count of conspiracy in restraint of trade involving sales of occupant safety products, and once approved by the court, this settlement concludes the current investigation by the DOJ.   Under the terms of the agreement, TRW Deutschland Holding GmbH will pay a fine of US$5.1 million.  Also, under the terms of the agreement, all but one of its employees will be protected against prosecution for the antitrust offenses.  The DOJ has made no determination whether the employee will face prosecution.  

The related European Commission investigation into alleged competition law violations is ongoing and it would be premature to speculate on the outcome.  The Company will evaluate developments in this matter on a regular basis and will record an accrual as and when appropriate.  While the duration and outcome of the European Commission investigation is uncertain, a determination that the Company has violated European competition (antitrust) laws could result in significant penalties which could have a material adverse effect on TRW's financial condition and cash flows.    

"The actions connected with the DOJ settlement announced today conflict with what TRW stands for and are not consistent with our policies," said TRW Automotive Chairman and CEO John Plant.  "The Company's policy is to comply with all laws and regulations, including all antitrust and competition laws.  Once we learned of the investigation, we moved very quickly to cooperate with the DOJ and bring this matter to a resolution.  In addition, we have put in place enhanced training and communications to ensure that everyone in the organization is clear that we do not tolerate such conduct."