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Tesma International Inc. Announces Hanwha Automotive Acquisition

14 January 1999

Tesma International Inc. Announces Completion of Hanwha Automotive Acquisition

    CONCORD, ON, Jan. 14 /CNW-PRN/ - Tesma International Inc. (TSE:TSM.A;
NASDAQ:TSMAF) today confirmed that it has completed its previously announced
acquisition of 100% of the outstanding shares of Hanwha Automotive Components
Corporation in Korea from Ford Motor Company and Hanwha Corporation.
    Hanwha Automotive, with 2 manufacturing facilities located near Seoul,
Korea, is an advanced supplier of water pumps and oil pumps for engine and
transmission applications to automotive customers in North America, Europe and
the Asia Pacific. Anthony Dobranowski, Tesma's Chief Financial Officer, noted
that: ``The addition of Hanwha Automotive represents another positive step in
our global modular products supply strategy for automotive pump systems and
related products. With its strong management, experienced workforce and
growing customer base, Hanwha Automotive provides Tesma with a solid
foundation in the reviving Korean market.''
    Tesma is a global supplier of highly engineered engine, transmission and
fueling systems and components for the automotive industry. Tesma's strong
market presence and strategy for continuing growth results from its unique
focus on Innovation, Engineering and Performance. Tesma employs over 3,200
employees in 21 manufacturing facilities in North America, Europe and the Asia
Pacific.