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Meritor and PSI Partner to Market Trailer Tire Inflation Systems

18 January 1999

Meritor and PSI Partner to Market Trailer Tire Inflation Systems
    TROY, Mich., Jan. 18 -- Meritor Automotive, Inc.
has announced a collaborative agreement with Pressure Systems International,
Inc. (PSI) to market and distribute automatic tire inflation systems for
trailer applications.  The agreement will allow Meritor to supply a system
which will help trailer operators to optimize cost-per-mile tire life benefits
through consistent inflation control.
    Meritor will begin distributing the tire inflation system on March 1, 1999
to North American trailer original equipment manufacturers (OEMs) and through
its Worldwide Aftermarket organization, based in Florence, Ky. and Brampton,
Ont.  PSI will manufacture the system at its facility in San Antonio, Texas,
and assist Meritor with sales and service support.
    "The partnership with PSI offers Meritor the immediate opportunity to
offer our customers the industry-leading trailer tire inflation system and
further differentiate our expanding axle product line with both OEMs and end
users," said Bob Zirlin, director of marketing for Meritor's Worldwide Trailer
Products business.
    Maintaining correct tire inflation directly addresses the second highest
operating cost fleets incur:  tires and tire-generated problems.  The PSI
system will help operators with problems such as in-service failure, increased
fuel consumption and excessive tread wear.
    The PSI system uses compressed air from the trailer air system to inflate
any tire that falls below a pre-set pressure while the trailer is moving.
Typically, trailers are not sent to a centralized maintenance facility at the
same time as tractors, so tire pressure may not always be checked.  The
automatic inflation system controls air flow to ensure trailers maintain
proper and consistent tire pressure at all times.
    "This agreement is another step closer to our goal of being a single-
source supplier for all of our customers' trailer undercarriage needs," added
Zirlin.  "Meritor continues to develop trailer products solutions that
minimize maintenance and positively impact our customers' bottom line."
    Frank Sonzala, vice president of sales and marketing for PSI, said the
agreement allows both companies to meet the needs of the trailer industry.
"The partnership allows PSI to advance to the next level through more
widespread distribution.  Comparably, the alliance gives Meritor the advantage
of offering the most commercially attractive tire inflation system in the
world for trailers."
    Meritor has been a leader in the design and manufacture of trailer
products for more than 60 years.  Meritor trailer products include:  axles;
air suspensions; cam, wedge and air disc brakes; automatic slack adjusters;
anti-lock braking systems; and full aftermarket parts support.  Meritor is the
world's largest manufacturer of trailer axles with more than seven million
units manufactured in North America alone.
    Meritor, with 1998 sales of $3.8 billion, is a global supplier of a broad
range of components and systems for commercial, specialty and light vehicle
OEMs and the aftermarket.  Meritor consists of two businesses:  Heavy Vehicle
Systems, a leading supplier of drivetrain systems and components for medium-
and heavy-duty trucks, trailers and off-highway equipment and specialty
vehicles including military, bus and coach, and fire and rescue; and Light
Vehicle Systems, a major supplier of roof, door, access control and seat
adjusting systems, electric motors, suspension systems and wheels for
passenger cars, light trucks and sport utility vehicles.