Delphi Announces 'New Markets' Unit and Executive Appointment

            Signifies shift in portfolio toward high-tech products

    TROY, Mich., March 1 Delphi Automotive Systems
announced today the creation of a "new markets" business unit demonstrating
its commitment to growing its high-tech product sales, restructuring its
portfolio and diversifying its customer base.  Effective immediately, Atul
Pasricha is appointed executive director, New Markets, as announced by
Delphi's Chief Financial Officer, Alan Dawes.
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    "We have products and intellectual property in our portfolio that can be
applied to several market segments," said Dawes.  "As we transition our
portfolio to higher-tech, higher-margin businesses, we plan to expand our
market coverage in selected traditional automotive markets, as well as build
our sales as we enter new high-growth markets.  Atul will help accelerate our
portfolio shift by applying our core technologies in related business
sectors."
    Today's announcement is in line with Delphi's 2001 portfolio management
strategy to more sharply focus capital investments and management on
technology-rich product segments by expanding selected technologies and
capabilities beyond current segment boundaries or by acquiring related
businesses, said Dawes.
    "We believe we can accelerate our progress with aggressive growth business
lines and extract more value from our significant product portfolio through a
coordinated new market growth initiative," said Dawes.
    Pasricha, 43, will be responsible for creating strategic direction to
profitably expand Delphi's new markets.  He will identify aggressive growth
business lines and remove barriers to ensure rapid technology-to-market
introduction.  In March 2000, Delphi announced Mobile MultiMedia as its first
example of an aggressive growth business line to accelerate sales in high-
growth markets.  Pasricha will evaluate several additional technologies and
product lines that are strongly positioned to create new business
opportunities for Delphi.
    With 2000 "new market" revenues of $460 million -- 66% above 1999 revenues
-- Delphi will continue to expand its business in new markets through organic
growth and through acquisitions.  Delphi serves several industries beyond
automotive, including: agriculture & construction; communications; military &
aerospace; and recreation.
    "With so many of Delphi's high-tech, automotive products applicable to
other industries, we should be able to capitalize on our vast electronics
integration capabilities, experience and global reach, and move quickly to
market," said Pasricha.  "Similarly, we'll be able to take the lessons learned
from our initiatives in new markets and apply them to our core automotive
business."
    Recently, Delphi Technologies Inc. (DTI), a subsidiary of Delphi, formed a
strategic alliance with technology operating company incuVest LLC to build new
businesses based on Delphi's proprietary technologies.  This would include the
potential for new opportunities outside of Delphi's core product lines with
emphasis in new market segments.  This alliance is another example which
illustrates Delphi's commitment to growing and restructuring its portfolio and
diversifying its customer base, while at the same time continuing to serve the
technology needs of the automotive industry.

    New Market Segments
    Examples of Delphi's high-tech automotive products and services moving
into related market segments include:
    Connection Systems -- The connector industry is expected to grow globally
to $50 billion by 2004.  Delphi is already number one in connectors in the
automotive industry and is a growing supplier to the telecommunications
equipment market.  With its Packard-Hughes Interconnect (PHI) subsidiary and
other connector operations, Delphi supplies connectors for cellular phones,
cellular base stations, network switching, routers and modems, as well as
fiber optic connectors to the broadcast industry.
    Potential markets for connection systems include:  communications, office
automation, household appliances, recreation, industrial machinery,
entertainment, medical and aerospace/military.
    Services -- Delphi is bringing new and enabling technologies to markets --
especially in the heavy-duty commercial truck market where onboard truck
productivity computers are expected to revolutionize over-the-road commercial
trucking.
    Recently, Delphi, Palm and Mayfield Fund launched MobileAria, Inc., a
company that will develop a new, hands-free mobile Internet service platform
for the automobile.  MobileAria plans to provide an open platform to enable
"in-vehicle" access and management of personal information, mobile Internet
services and entertainment through a hands-free, "eyes-on-the-road," voice-
activated interface.  This service offers the potential for use in new
markets, including the commercial truck industry.
    In addition, Delphi's Luxembourg office contracts testing facilities and
engineering services to other companies to utilize capacity in specialized
areas.  This is a further example of Delphi expanding its services into new
markets.
    Sensors and Switches -- Delphi supplies Harley-Davidson with its manifold
absolute pressure (MAP) sensors, as well as various electrical and electronic
products.  Other Delphi sensors include pressure, optical, chemical, light and
direction.
    Delphi markets numerous sensors in the automotive market which have
potential application in several markets including:  communications, office
automation, household appliances, recreation, industrial machinery,
entertainment, medical and aerospace/military.
    New markets customers include:  Caterpillar, Inc.; Ericsson; Harley-
Davidson Inc.; Navistar; Nokia Corp.; Pioneer Electronics Corp.; Raytheon Co.;
Silicon Graphics; and Yamaichi Electronics.

    Pasricha Background
    Since September 2000, Pasricha was acting general director of finance for
Delphi's Electronics & Mobile Communication sector.  Previously, he was
assistant treasurer for Delphi Automotive Systems, where he was responsible
for corporate capital planning, investor relations, pension funding and global
corporate finance.
    Prior to joining Delphi in October 1998, Pasricha held various assignments
within General Motors' New York Treasurer's Office and was regional treasurer
of GM's Asia Pacific Operations in Singapore from 1996 to 1998.  Before
joining GM in 1989, Pasricha worked with Ernst & Young in the firm's Middle
East practice in the United Arab Emirates.
    Pasricha holds an MBA from the Darden School, University of Virginia.  He
obtained a bachelor's degree from the University of Delhi, India, and also
qualified as a chartered accountant from the Indian Institute of Chartered
Accountants.
    For more information about Delphi Automotive Systems, visit Delphi's
Virtual Press Room at http://www.delphiauto.com/vpr .