ArvinMeritor Comments on Second Quarter and Fiscal 2001 Outlook

    TROY, Mich., March 20 ArvinMeritor, Inc. today
lowered its sales and earnings estimates for its second fiscal quarter ending
March 31, 2001 and fiscal year ending September 30, 2001.  Reflecting the
current business environment, the company indicated that sales for the second
fiscal quarter are projected to be approximately $1.8 billion, down 13 percent
from the prior year's second fiscal quarter, and earnings per share are
projected to be in the range of $0.40 to $0.45.

    "A continued softening in the U.S. economy, the rapid deterioration in
North American production volumes for our commercial vehicle business, lower
customer orders in both our light and commercial replacement parts businesses,
startup costs related to the launch of our commercial vehicle aftermarket
business in Europe, and an unexpected downturn in our Roll Coater business due
to weaker demand and higher energy and raw material costs have affected our
company's performance more than we previously expected," said Larry Yost,
chairman and chief executive officer of ArvinMeritor.

    "Our outlook for fiscal 2001 has changed since the company's previous
projections.  Current projections are showing North American Class 8 vehicle
production declining an additional 16 percent to nearly 135,000 units versus a
previously expected 160,000 units in fiscal 2001.  We also continue to expect
light vehicle production volumes to decline about 10 percent in North America
and two percent in Europe during fiscal 2001.

    "As a result of these changing conditions, we have revised our sales
outlook for fiscal year 2001 to be about $6.6 billion, reflecting a 14%
decline from prior year, and full fiscal year earnings per share from an
expected range of $2.00 to $2.30 to an expected range of $1.35 to $1.45,
representing expected net income of $90 million to $100 million.

    "We are continuing to implement aggressive cost-reduction actions to
address the current industry and economic conditions, and we are making
progress in our efforts to close selected facilities, reduce our global
workforce, consolidate manufacturing and engineering facilities, and reduce
capital spending.  Despite the market volatility we are currently
experiencing, we believe our company is well-positioned to address changing
conditions, and we are taking the necessary steps to ensure we provide value
to our shareholders, customers and employees," Yost said.