Delco Remy Acquires XL in the UK

    ANDERSON, Ind., Feb. 12 Delco Remy International, Inc.,
announced that it has acquired the business and assets from the UK
based automotive remanufacturer, XL Component Distribution Ltd. (XL), a member
of the Finelist Group in administrative receivership.
    Founded 15 years ago, with headquarters in Droitwich, Worcestershire, XL
has built a strong brand image and reputation for quality, range, technical
expertise and testing capability of its remanufacturing operations. The XL
operation includes four separate manufacturing locations in the UK, with an
experienced workforce of 300.
    XL specializes in the remanufacturing, packaging and distribution of
steering racks, brake calipers, ignition distributors, ignition leads,
transmission components and rotating electrics. The products are distributed
under the XL brand, with the exception of rotating electrics, which are
branded under the Autostart name.
    The acquisition of XL expands the DRI aftermarket product portfolio,
providing a presence in new sectors of the growing remanufacturing market with
well-established routes to market.
    The Delco Remy Europe Managing Director, Patrick C. Mobouck, said, "We are
excited about the new opportunities offered by extending our product portfolio
in the automotive remanufacturing markets.  This acquisition strategically
positions us to be the leading remanufacturer of automotive components in
Europe."
    Delco Remy International, Inc., headquartered in Anderson, Indiana (USA),
became a public company with an initial stock offering in 1997.  The Delco
Remy brand has been a leader in automotive products for decades.
    Today the company designs, manufactures, remanufactures and distributes
electrical, powertrain/drivetrain and related components and core exchange
service for automobiles and light trucks, medium- and heavy-duty trucks and
other heavy-duty off-road and industrial applications.  Products include
starter motors, alternators, engines, transmissions, torque converters, fuel
systems and traction control systems.  The company serves the aftermarket and
original equipment manufacturer market, principally in North America as well
as Europe, Latin America and Asia Pacific.
    Statements in this press announcement which are not historical, are
forward-looking statements that involve certain risks and cautions, including
but not limited to, risks associated with the uncertainty of financial
results, acquisition, additional financing requirements of new products and
services, the effect of competitive products and the effect of economic
conditions and other uncertainties detailed in the company's filings with the
Securities and Exchange Commission of the United States.
    More information is available on the company's web site:
http://www.delcoremy.com .