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Delphi Invests $3 Million in Its Rochester Facilities

19 August 1999

Delphi Invests $3 Million in Its Rochester Facilities
    FLINT, Mich., Aug. 19 -- Delphi Automotive Systems
announced today that it is investing approximately $3 million in
its manufacturing and technical facilities in Rochester, N.Y., according to
Donald L. Runkle, president of Delphi Energy & Engine Management Systems.
    This investment announcement comes in conjunction with today's
announcement from the state of New York of a $725,000 major economic
development initiative at Delphi's Rochester manufacturing facility.  New York
Senator Jim Alesi and Assemblyman Joseph Morelle joined representatives from
Delphi and the United Auto Workers in making the announcement at the Rochester
plant.  The $725,000 is from the Strategic Training Alliance Program at the
New York State Department of Labor.
    Delphi's $3 million investment will be made in two areas.  $2.2 million
will be invested in 1999-2000 at the Rochester plant for its die-cast
generator housing business.  The investment will provide for the design and
build of new generator housing molds.  The molds will significantly improve
the productivity and competitiveness of the facility's die-cast operations.
    The remaining $760,000 will be invested in the Technical Center Rochester
in Henrietta, N.Y., and will be used to complete the rearrangement and
relocation of test labs at the facility.  Empty floor space created as a
result of rearrangement will accommodate new measurement and test facilities
to support gasoline direct-injection product development.
    The gasoline direct-injection system is a new product that provides
significant improvements in fuel economy and reduces emissions.  With the new
system, the fuel is injected directly into the cylinder, not the intake
manifold, which offers the fuel economy benefits.  The Delphi system includes
injectors, high-pressure pump, ignition, sensors, exhaust aftertreatment,
controller and algorithms along with other key components.  The injectors
themselves are capable of delivering a wide range of air/fuel ratios that can
be optimized for any driving condition or emissions requirement.  Delphi is
prepared to adapt its direct-injection technology to all types of gasoline.
    As previously announced, Delphi won an order in March valued at over $100
million average annual revenue, to develop and supply a direct-injection
gasoline engine management system for a future GM vehicle program.
    "This investment in our Rochester facilities will allow us to better grow
the business and improve our competitiveness," Runkle said.  "It is essential
that we continue to dedicate capital to projects that will give Delphi Energy
a technological edge heading into the next century.  Investing in our
facilities, equipment and processes will accomplish this."
    Delphi announced last month that it awarded the Rochester manufacturing
plant a $3.2 million capital appropriation to complete the roofing of the 2-
million-square-foot facility.
    Capital expenditures announced during the first six months of 1999 for
Delphi's Dynamics and Propulsion Sector worldwide were in excess of $165
million.  During 1998, Delphi invested approximately $900 million in capital
expenditures for all Delphi domestic locations.
    Delphi Automotive Systems, with headquarters in Troy, Mich., USA, is a
world leader in automotive component and systems technology.  Delphi's three
business sectors -- Dynamics & Propulsion; Safety, Thermal & Electrical
Architecture; and Electronics & Mobile Communications -- provide comprehensive
product solutions to complex customer needs.  Delphi has approximately 201,000
employees and operates 168 wholly owned manufacturing sites, 38 joint
ventures, 51 customer centers and sales offices, and 27 technical centers in
37 countries.  Regional headquarters are located in Paris, Tokyo and Sao
Paulo.  Delphi can be found on the Internet at http://www.delphiauto.com