Lear to Acquire Grote & Hartmann

SOUTHFIELD, Mich., April 5 -- Lear Corporation announced today that it has signed a definitive purchase agreement to acquire the parent of GHW Grote & Hartmann GmbH, a manufacturer of electrical components based in Wuppertal, Germany.

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Grote & Hartmann manufactures terminals and connectors, junction boxes and machinery to produce wire harnesses, primarily for the automotive industry. The acquisition will support Lear's strategy to grow its electronics and electrical distribution systems business and further diversify its sales. Grote & Hartmann's primary customers are Volkswagen, BMW, Ford, Opel, DaimlerChrysler, Renault, MAN and PSA Group.

Grote & Hartmann had 2003 sales of approximately euro 225 million, or about $275 million, with about 75% in Europe, 15% in North America and 10% in the rest of the world. The company has production facilities in Germany, Czech Republic, Mexico, France and South Africa, and employs approximately 1,900 people worldwide.

The total value of the transaction is approximately euro 180 million or about $220 million, including the assumption of debt and other costs related to the transaction. The acquisition is not expected to impact 2004 earnings guidance and is anticipated to be slightly accretive to Lear's 2005 earnings per share. The transaction is subject to certain legal and regulatory approvals and other conditions, and is expected to close by the end of the second quarter.

Lear Corporation, a Fortune 500 company headquartered in Southfield, Mich., USA, focuses on integrating complete automotive interiors, including seat systems, interior trim and electrical systems. With annual net sales of $15.75 billion in 2003, Lear is the world's largest automotive interior systems supplier. The company's world-class products are designed, engineered and manufactured by more than 110,000 employees. At year end, Lear had 289 facilities located in 34 countries. Further information about Lear and its products is available on the Internet at www.lear.com .

Forward-Looking Statements

This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the anticipated timing and benefits of the acquisition described in this release. Actual events or results may differ materially from anticipated events or results as a result of certain risks and uncertainties, including, but not limited to, whether or not the conditions to the completion of the transaction are satisfied, the possibility that the transaction will not close, Lear's ability to successfully integrate Grote & Hartmann's operations, general economic and industry conditions and other risks detailed from time to time in Lear's Securities and Exchange Commission filings. These forward- looking statements are made as of the date hereof, and Lear does not assume any obligation to update them.

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