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Detroit Diesel Corporation Tender Offer Terminated

12 September 1997

Detroit Diesel Corporation Tender Offer Terminated

    DETROIT, Sept. 12 -- Detroit Diesel Corporation
today announced that its previously announced tender offer to acquire
13,842,619 shares of common stock of Outboard Marine Corporation ,
has been terminated.  In addition, DDC's merger agreement with OMC has been
terminated pursuant to an agreement with OMC.  The tender offer had been
scheduled to expire on September 15, 1997.
     Detroit Diesel Corporation is engaged in the design, manufacture, sale
and service of heavy-duty diesel and alternative fuel engines, automotive
diesel engines, and engine-related products; and provides financing through
Detroit Diesel Capital Corporation.  The Company offers a complete line of
diesel engines from ten to 10,000 horsepower for the on-highway truck;
construction, mining and industrial; automotive; coach and bus; marine; power
generation; and military markets.  Detroit Diesel services these markets
directly and through a worldwide network of more than 2,500 authorized
distributors and dealers. DDC is a QS-9000 certified company.
     Detroit Diesel's major shareholder is Penske Corporation, a closely-held,
diversified transportation services company whose operations include Penske
Truck Leasing Company, Diesel Technology Company, AG Kuhnle, Kopp and Kausch,
Penske Automotive Group, Inc., Penske Auto Centers, Inc., Penske Motorsports,
Inc., and Penske Capital Partners.  The Penske group of businesses has annual
revenues exceeding $6 billion and employs more than 28,000 people around the
world.
      Detroit Diesel's World Wide Web address is http://www.detroitdiesel.com.

SOURCE  Detroit Diesel Corporation