---

LucasVarity Automotive - A GM Supplier of the Year for Sixth Time

26 March 1999

LucasVarity Automotive - A GM Supplier of the Year for Sixth Time

    LIVONIA, Mich., March 25 -- For the sixth time in the last
seven years, LucasVarity Automotive has been recognized by General Motors as a
Supplier of the Year.
    Only 25 companies of more than 30,000 GM suppliers have received this
recognition for six or more years since the award became international in
1992.
    Victor Rice, Chief Executive Officer of LucasVarity plc , said,
"We are extremely gratified to be honored once again by our largest customer
with a Supplier of the Year award.  This recognition follows our selection by
GM as its 'Corporation of the Year' for 1997.  A Supplier of the Year award
for 1998 confirms the momentum of our strong relationship with the world's
largest automotive manufacturer."
    LucasVarity Automotive provides antilock braking systems (ABS) for
virtually all of the light trucks and sport utility vehicles GM produces in
North America.  It also supplies ABS for GM passenger cars produced in Europe.
    "GM's Suppliers of the Year represent the 'best of the best,'" said Harold
P. Kutner, vice president and group executive, Worldwide Purchasing and North
American Production Control & Logistics.  "Of GM's 30,000 suppliers,
LucasVarity Automotive is one of only 184 that have achieved Supplier of the
Year distinction for 1998, an honor accorded to those suppliers who have
achieved world-class levels of quality, service, technology and price in
support of General Motors."
    Awards were presented in five global categories including electrical,
chemical, logistics, metallic and machinery and equipment.
    LucasVarity Automotive is headquartered in Livonia, Mich., and produces
braking, electrical and electronic systems, diesel systems and aftermarket
replacement parts for the global automotive industry.
    It is a division of LucasVarity plc, which designs, manufactures and
supplies advanced technology systems, products, and services in the world's
automotive and aerospace industries.