Valeo Electrical Systems, Inc. Reaches Tentative Labor Accord With IUE-CWA 509

    ROCHESTER, N.Y.--April 15, 2002--Valeo Electrical Systems Inc. (VESI) announced that it has reached a tentative agreement with IUE-CWA Local 509 on amendments to the union's current labor contract. The agreement is subject to approval by bargaining unit employees, who are scheduled to vote on ratification on May 5.
    Commenting on the agreement, VESI executive vice president and general manager, Rochester site, Walter Kneuer said "This agreement, which has been approved by a unanimous vote of Local 509's executive board, represents an opportunity to secure a viable future for VESI in Rochester. An approval by the bargaining unit employees will keep us on track to emerge from Chapter 11 by 2003."
    VESI filed for Chapter 11 on December 14, 2001 to protect its operations in the face of its difficult competitive situation. The company indicated that, pending the ratification vote by the bargaining unit employees, VESI and Local 509 have agreed not to provide public comment on the details of this tentative agreement.
    VESI manufactures automotive wiper and airflow systems, motors and other components in North America for sale to car and truck manufacturers, component suppliers and other customers. VESI's manufacturing operations are primarily located in a facility in Rochester. It is a subsidiary of Valeo SA, an independent industrial Group fully focused on the design, production and sale of components, integrated systems and modules for cars and trucks. Valeo ranks among the world's top automotive suppliers.