Bosal Delphi Wins First Complete Exhaust Systems Contract

Alliance to supply Delphi's "hot end" and Bosal's "cold end"

TROY, Mich., Sept. 25 -- Bosal Delphi Complete Exhaust Systems recently won its first contract since Delphi Corp. and Bosal Group entered into an alliance last year, the companies announced today.

The contract for a complete exhaust system, which includes a Delphi- supplied "hot end" and a Bosal-supplied "cold end" is worth $235 million over its lifetime.

Distribution of the complete exhaust system in North America is expected to begin in 2009.

Further details of the bookings remain confidential at the customer's request.

"Bosal Delphi won this contract because of technical capability," said Sandra McCulloch, Delphi Powertrain Systems product line executive, Powertrain products and exhaust systems. "But we also brought competitive pricing and logistics advantages to the project."

In an effort to bring together each company's specific expertise, facilities and resources, Delphi and Belgium-based Bosal announced a new strategic alliance to offer complete exhaust systems for the global original equipment (OE) market in May of 2005. The non-equity based alliance was created to offer a total customer solution around the globe for any vehicle program and all current fuel options.

"This first Bosal Delphi business win is a promising sign for the future of the alliance," said John Miles, president of Bosal International - North America (BINA). "This is the first step in gaining prominence across the globe. As Bosal Delphi gains more business wins, awareness of its innovative approach and commitment to advanced technologies will multiply."

For this inaugural contract, Delphi will be supplying the hot end sub- assembly through their JV partner, Katcon.

The hot end sub-assembly consists of converter assemblies and a "Y" pipe assembly. Bosal will supply cold end assemblies that consists of a resonator, muffler assembly, intermediate pipe and tailpipe assembly.

About Bosal Group

Bosal is one of the world's leading manufacturers of tow bars, complete exhaust systems for passenger cars, catalytic converters, complete exhaust systems for trucks and industrial applications, roof bars and roof racks, jacks and toolkits, cabins, irrigation equipment, precision steel tubing and warehouse racking systems.

Established in 1923 in Alkmaar, the group is Dutch registered, headquartered in Lummen, Belgium. The annual turnover in 2005 was in excess of euro 815 million. The Bosal Group employs more than 6,000 people and has 42 manufacturing plants and 27 distribution centers.