Delphi Announces Portfolio Review of Ande, France Operations

    FLINT, Mich., Feb. 22 As part of a plan to rationalize
facilities and exit non-strategic businesses, Delphi Automotive Systems
announced today its intent to sell its Ande, France operations, as
well as its global Liteflex composite spring business.

    "The Liteflex product line is not strategic to our portfolio and Ande is
no longer critical in our global footprint," said Mike McCurdy, business line
executive for Delphi's ride dynamics business line.  "Fortunately, we have
interested parties for both Ande and our global Liteflex business and are
proceeding with the intention to sell both."

    Regarding the intention to pursue a sale of the Ande, France facility:

    The Ande, France facility produces components for Delphi's composite
spring product line, as well as suspension components.  Composite spring
components are also produced in Delphi's Dayton, Ohio (Home Ave.) facility.
Suspension components are produced at several locations throughout the world.

    Delphi's decision to sell the Ande, France operations follows an intensive
product portfolio review, which determined the facility to be outside of the
primary focus of the division's growth and long-term strategic goals.  It also
brings its capacity for suspension products in line with the company's future
needs.

    There are approximately 280 employees involved in the Ande operations.

    "After lengthy review of our Ande operations, we have determined that it
no longer aligns with our future product strategies," said Guy C. Hachey,
president of Delphi Automotive Systems Energy & Chassis division.  "This
decision does not diminish our intention to pursue investment opportunities in
France or other regions of the globe.  In fact, we have invested a great deal
in recent months in LaRochelle and Blois, France as we work to grow our diesel
systems product line.  The intention to pursue a sale of the Ande operations
and Liteflex product line is consistent with our long-term plan to streamline
and implement our future global strategy.

    With that in mind, we will work diligently to ensure the best possible
outcome for Delphi, our employees, and any prospective buyers.  As we move
through this process, we are committed to share information with our
employees, shareholders and stakeholders as soon as it becomes available,"
said Hachey.

    Regarding the intention to pursue a sale of the global Liteflex composite
    spring business:

    Delphi's composite spring business manufactures drive axle springs for
original equipment manufacturers (OEM) and the aftermarket.

    "Delphi continually engages product portfolio reviews for all of its
business lines to assure the company's portfolio is in-line with long-term
strategic objectives and maximizes shareholder value," said Hachey.  "When a
viable product line like composite springs emerges from product portfolio
review outside the scope of Delphi's long-term objectives, we look to sell
that business."

    In the United States - Dayton, Ohio:

    The proposed Liteflex sale would include all of Delphi's composite spring
business assets in Dayton, Ohio, including all tools, inventory, equipment and
a dedicated facility in Dayton.

    Delphi's 15 hourly and 5 salaried employees in Dayton dedicated to the
composite spring business line will be transitioned to other assignments
within Delphi.  No layoffs are anticipated as a result of a sale of the Dayton
Liteflex business.

    In France - Ande:

    The proposed sale would include the facility, as well as all of Delphi's
composite spring business assets at the Ande, France operations, including
employees, tools, inventory and equipment.

    "The Liteflex product line has a solid book of business and should have a
viable future with a buyer who will support its growth as part of a long-term
strategic goal," said Hachey.  "This decision is intended to strengthen our
main line automotive products and improve the competitiveness of our core
business by allowing us to focus on our long-term strategic direction."