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Freudenberg and NOK Group Expands Sealing Capabilities

23 December 1998

Freudenberg and NOK Group Expands Engine and Transmission Sealing Capabilities Through Purchase of Farnam*Meillor

    PLYMOUTH, Mich., Dec. 22 -- Freudenberg & Co. of Weinheim,
Germany has agreed to purchase an interest of specialized gasket-maker Meillor
S.A. of Nantiat, France -- expanding the Freudenberg and NOK Group's ability
to serve global automakers with total powertrain sealing capabilities.
Freudenberg will join with Meillor in the management of the European and the
U.S. businesses effective January 6, 1999.
    According to Joseph C. Day, CEO of Freudenberg-NOK -- the group's
operation in the Americas -- this new partnership is an integral part of his
company's strategy of "Getting Better, Not Just Bigger."  The transaction
enhances the group's offering by adding the technologies of a capable flat
gasket supplier, as well as strengthening Freudenberg-NOK's American
transmission supply business.
    "While not a mega-merger or a huge acquisition, this strategic joint
venture is yet another important step in our ongoing commitment to achieve the
highest levels of customer satisfaction," Day said.  "Also, it completes our
product package for sealing OEM transmissions, which in turn will help us
increase customer satisfaction.  Ultimately, business growth is the logical
outcome of high customer satisfaction and our growth will come in steady,
reliable and manageable chunks."
    Farnam*Meillor, whose primary customers are Ford Motor Co., General Motors
Corp. and several major aftermarket customers, currently manufactures a wide
range of gaskets and gasket assemblies for use in automobiles, heavy-duty and
off-highway vehicles and agricultural equipment, as well as for the automotive
aftermarket.  The company operates a sales office and technology center in
Troy, Mich., as well as a 177,000-square-foot gasket production facility in
Necedah, Wis.
    Meillor S.A., one of the world's leading producers of flat gaskets,
operates plants in France and Italy to supply Renault, Peugeot-Citroen, Fiat,
Volkswagen, Ford and GM in Europe, with group sales of approximately $120
million in 1997.
    Freudenberg-NOK is part of the Freudenberg and NOK Group Companies, which
have annual sales of more than $6 billion.  With global automotive sales of
approximately $3.5 billion, the Freudenberg and NOK Group ranks among the
world's top 25 independent automotive suppliers.  The Plymouth, Mich.-based
company recently announced a $14.5 million expansion of its Concept Center and
is actively recruiting to fill about 80 new jobs created by the expansion.
    Through a global network of facilities spanning 24 countries with some
8,000 employees in Europe, 9,000 in the Pacific Rim and 6,000 in the Americas,
the Group produces 9 billion automotive components per year and offers its
automotive customers globally integrated products, including total sealing
packages for engines, transmissions, steering, axles and brakes; NVH (noise,
vibration and harshness) components and modules; and all rubber, plastic and
PTFE components for suspension, electrical, fuel and climate control systems.
    The Freudenberg and NOK Group also offers an extensive portfolio of
precision-molded products for the aerospace, appliance, business machine,
fluid power, marine, medical, off-highway equipment and recreational vehicle
markets.  For more information, visit the Freudenberg-NOK web site at
http://www.freudenberg-nok.com.