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LucasVarity to Supply Complete Braking System for Proton

11 September 1997

LucasVarity to Supply Complete Braking System for Proton

    LIVONIA, Mich., Sept. 11 -- The Light Vehicle Braking Systems
division of LucasVarity plc, the global automotive, diesel engine, aftermarket
and aerospace products and systems group, has been selected by Proton to
provide complete braking systems for a new generation of passenger cars set
for production in the year 2000.
    LucasVarity will design and provide the complete braking system including
front and rear foundation brakes, actuation, anti-lock brake systems (ABS),
traction control and front corner assemblies for three models of the car to be
built by Malaysia's dominant automaker, Proton.
    "This business represents two important firsts for us," said Divisional
Managing Director Steve Lunn.  "It is our first business with Proton and it's
the first total system design and manufacturing contract we've won since the
merger of the Lucas and Varity braking businesses in 1996.  Strategically,
this is an ideal opportunity to establish our company in the ASEAN region."
    Along with South America and eastern Europe, Malaysia is among the world's
fastest growing auto markets.  Vehicle sales there have soared from less than
49,000 units in 1987 to nearly 400,000 units in 1997.  As Malaysia's first
"national" carmaker, Proton in 1996 accounted for nearly 64 percent of
domestic sales.
    In October 1996, Proton purchased 80 percent of Lotus, the British design
and automotive engineering firm known for its work on high performance cars.
The Lotus Esprit V8 supercar is equipped with Kelsey-Hayes four-wheel ABS
supplied by LucasVarity.
    Headquartered in Livonia, Mich., the Light Vehicle Braking Systems
division of LucasVarity supplies braking components to virtually every major
automotive manufacturer in the world.

SOURCE  LucasVarity plc