Federal-Mogul Announces New Organizational Structure

SOUTHFIELD, MI -- Federal-Mogul Corp. CEO Frank Macher and President and Chief Operating Officer Chip McClure have announced a new organizational structure for Federal-Mogul reflective of the company's product line priorities.

"Our organizational structure and management processes will be globally focused with defined centers of excellence for powertrain systems, sealing systems and friction," said Macher. "Engineering and manufacturing process are to be optimized in all our product lines allowing for the sharing of best practices worldwide."

On a global basis, Executive Vice President Wilhelm A. Schmelzer, who will retain regional operational responsibility for Europe, Africa and South America, will lead powertrain systems. Kevin Baird has been appointed senior vice president of powertrain systems in North America, replacing Mike Verwilst who has left the company to pursue other opportunities.

On a global basis, Senior Vice President Thomas B. Conaghan, who also will be responsible for systems protection, will lead sealing systems.

The vice president who will lead friction on a global basis will be announced at a later date.

"We are strengthening our focus on manufacturing operations," said McClure. "It's not only imperative that assets for each product line are clearly employed, but we need to be sure our rationalization activities are congruent with our strategic direction."

McClure said the company would soon announce a vice president of manufacturing support to lead the processes for rationalization, quality and sharing of best practices.

McClure added that a realigned North American aftermarket organizational structure would include responsibility for manufacturing plants that predominately serve aftermarket customers. "We are tightening our focus on the customer through an organization that is connected and aligned to our customer's needs," he said.

McClure will lead the aftermarket organization in North America until a senior vice president of Aftermarket North America is announced.

In the new organizational structure, the position of executive vice president of North America and Asia has been eliminated. Alan C. Johnson, who had served in that role, has elected to leave the company to pursue other opportunities.

The Office of President and Chief Operating Officer

The direct reports to President and Chief Operating Officer Chip McClure are as follows, effective immediately:

* Kevin Baird, senior vice president, powertrain systems - North America; * Thomas B. Conaghan, senior vice president, sealing systems / systems protection; * Ramzi Hermiz, vice president, global supply chain management; * John Tobiczyk, vice president, lighting group; * Wilhelm A. Schmelzer, executive vice president, powertrain systems, Europe / Africa/ South America; and * David Wilson, vice president, Asia Pacific.

McClure said the following direct report positions would be filled soon:

* Senior Vice President, Aftermarket - North America; * Vice President, Friction; and * Vice President, Manufacturing Support.

The Office of Senior Vice President, Aftermarket - North America

The direct reports to the senior vice president, Aftermarket - North America, a position temporarily filled by McClure, are as follows, effective immediately:

* Kevin Backus, vice president, chassis and brake hard parts; * James C. Burkhart, vice president, marketing; * Tim Dan, plant manager, wipers; * Robert F. Egan, vice president, aftermarket sales; * Robert Matz, vice president, ignition; * Bonnie J. Price, vice president, customer service and distribution; and * Mike Sobieski, plant manager, fuel.

The Office of CEO

The direct reports to CEO Frank Macher are as follows, effective immediately:

* Steven C. Feeny, vice president, investor relations; * Charles B. Grant, vice president, corporate development and strategic planning; * G. Michael Lynch, executive vice president CFO; * Charles G. McClure, president and chief operating officer; * Richard P. Randazzo, senior vice president, human resources; * Kimberly A. Welch, vice president, corporate communications; and * James J. Zamoyski, senior vice president and general counsel.

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