Isuzu and GM to Set Up New Joint Venture Company for Power Train Systems

Tokyo, Japan, Jan. 16, 2003 - (JCN Newswire) - Isuzu Motors Limited
has established with General Motors Corporation a
new joint venture company called GMI Diesel Engineering Ltd. (GMIDEL),
which will engage in the development of applications for diesel engines
that are supplied for use for GM vehicles, to be put into business
operation in February this year.

GMIDEL will be responsible for the design and progress management
functions of the portion of applications with reference to the three
types of Isuzu-made diesel engines that are now mounted on GM vehicles
(6.6 liter V8 to be mounted on Chevrolet Silverado; 3.0 liter V6 to be
mounted on Saab 9-5; 1.7 liter direct-injection to be mounted on Opel's
Astra/Corsa). It will also operate the functions associated therewith
such as purchasing, supply quality, production technology, financing,
and quality assurance, planning for sales and services, and systems
functions. Isuzu and GM have determined, by means of these, to
strengthen the said business toward the future and further increase
their competitiveness.

At present the ratio of the number of diesel-driven vehicles to that of
all the automobiles in Europe is approaching over 40% because of the
inherent advantages of diesel engines with less CO2 emissions and
superior fuel expense efficiency as well as the introduction of the
state-of-the-art technologies that has furthered the reduction of
exhaust gases. Isuzu made diesel engines have enjoyed a very high
reputation* even in European and American markets that can be said to be
the birthplace of motor vehicles.

Outline of the new company


Name of the company:       GMI Diesel Engineering Ltd. (GMIDEL) 
Location:                  Fujisawa City, Kanagawa Prefecture 
Representative:            Ronald. D. Yuille 
Start of Operation:        February 1, 2003 (Establishment: November
2002) 
Capital:                   400 (million yen) 
Ownership ratio:           GM 60%, Isuzu 40% 
Number of employees:       100 
Business:                  Development of applications, program
management,
                           purchasing, supply quality, production
technology,
                           financing, quality assurance, planning for
sales and
                           services, and system functions for use for
diesel
                           engines 

Major prizes awarded to Isuzu diesel engines

-V8 6.6L: Annual "10 Best Engines" awards by Ward's Communications of US
in the two consecutive years of 2001 and 2002.
-"Truck of the Year 2001" award by the Motor Trend magazine of US. 
-V6 3.0L: "Executive Diesel Car of the Year 2002" award by the Diesel
Car magazine of UK. 
-I4 1.7L: "Germany's best small and compact car of the Year 2001" award
by the German magazine Mot.