American Axle & Manufacturing Announces New Business with Ssangyong Motors

DETROIT, Feb. 12, 2004 -- American Axle & Manufacturing (AAM), which is traded as AXL on the NYSE, today announced it has been awarded a lifetime production contract (LPC) for new business with Korean automaker Ssangyong Motors. This contract is expected to provide AAM with revenues of approximately $40 million annually when fully launched beginning in 2005. This award is the first phase of a General Cooperation Plan between AAM and Ssangyong that is intended to provide Ssangyong Motors with world-class driveline technology, products and support.

Under the new contract, AAM will supply independent front and independent rear-drive axles for multiple new Ssangyong vehicle programs.

The independent front drive axle (IFDA) incorporates AAM's proven aluminum PowerLite(R) design for reduced weight while providing superior noise, vibration and harshness (NVH) performance and packaging. The IFDA provides lower vehicle height and weight reduction for improved fuel economy, as well as improved road handling, performance, durability, and operating temperature control.

The independent rear drive axle (IRDA) utilizes AAM's PowerLite(R) aluminum carrier as well as AAM's state-of-the-art, high technology PowerDense(TM) ring and pinion gear design. Produced using advanced material, thermal and mechanical processes, PowerDense(TM) gear sets are capable of carrying more torque in a smaller package with less noise.

"This is an extremely exciting program for AAM," said Co-Founder, Chairman & CEO Richard E. Dauch. "Ssangyong is a leading Korean producer of SUVs and all-wheel-drive vehicles for the Asian market. This program represents our first penetration into the Asian market, and demonstrates our commitment to global expansion and diversification of our customer base. It also symbolizes our ability to meet our customers' quality, technology and delivery requirements, wherever on the globe they are located."

AAM is a world leader in the manufacture, design, engineering, and validation of driveline systems and related components and modules, chassis systems and forged products for trucks, sport utility vehicles and passenger cars. In addition to its 14 locations in the United States (in Michigan, New York and Ohio), AAM also has offices and facilities in Brazil, England, Germany, Japan, Mexico and Scotland.

Certain statements contained in this press release which are not historical facts contain forward-looking information with respect to the Company's plans, projections or future performance, the occurrence of which involves risk and uncertainties that could cause the company's actual results or plans to differ materially from those expected by the company which include risk factors described in the Company's filings with the Securities and Exchange Commission.

  For more information ...

  Media relations contact                Investor relations contact
  Carrie L.P. Gray                       Richard F. (Rick) Dauch
  Director, Corporate Relations          Vice President, Investor Relations
  (313) 758-4880                         (313) 758-4767
  grayc@aam.com                          dauchrf@aam.com

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