Donnelly Acquires Full Ownership of South American Joint Venture

    HOLLAND, Mich., Feb. 27 Donnelly Corporation ,
one of the world's largest suppliers of exterior systems and electronic
systems for the automotive and information display industries, has announced
that it has acquired full ownership of Brazilian-based Donnelly/Arteb, Ltda.
from Arteb Industrias S.A.

    Donnelly's acquisition strengthens its position as the only automotive
supplier with the capacity to locally manufacture automotive mirrors for
customers in every major auto-producing area in the world.

    "The integration of Donnelly/Arteb Ltda. into a new, wholly-owned
subsidiary, Donnelly do Brasil, clearly complements and advances our strategy
of providing unsurpassed service to our customers by offering them the best in
design, price and technology," said Scott Reed, president of Donnelly's
Electronic Systems group.  In 1998, Donnelly entered into a 50/50 joint
venture partnership to manufacture rearview mirrors with Arteb Industrias
S.A., a major manufacturer of automotive headlights and taillights, located
outside of Sao Paulo, Brazil.

    "We determined, based on the potential future growth we have seen in the
Brazilian marketplace and on the need to better serve our customers, that the
next step in strengthening our commitment in South America was to wholly-own
the company," continued Reed.  "We believe this acquisition enables us to more
effectively support our customers in Brazil and other South American countries
in a world-class fashion."

    Donnelly do Brasil, manufactures and supplies interior and exterior
mirrors for a variety of vehicles including Brazilian-built Corsa, Astra and
Vectra and Celta models.