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Borg-Warner Automotive to Sell Kuhlman Electric

31 August 1999

Borg-Warner Automotive to Sell Kuhlman Electric

    CHICAGO, Aug. 30 -- Borg-Warner Automotive, Inc.
announced today that it has signed a definitive agreement to sell Kuhlman
Electric, a producer of transformers for the utility industry, to The Carlyle
Group for $120 million less debt of about $1 million.
    Borg-Warner Automotive acquired Kuhlman Electric as part of its purchase
of Kuhlman Corporation in March 1999.  BWA announced at that time that it was
one of two businesses that were not strategic and would be sold.
    "The sale of Kuhlman Electric, along with Coleman Cable, enables us to
focus on the growth opportunities in engine components and systems for the
worldwide vehicle market that were the reason for the Kuhlman Corporation
acquisition," said John F. Fiedler.
    Glenn A. Youngkin, a Managing Director of The Carlyle Group, said,
"Carlyle is very enthusiastic about the prospect of acquiring Kuhlman Electric
and continuing to build its value.  Kuhlman Electric is well positioned to
benefit from deregulation in the electric utility industry."
    The transaction is subject to customary conditions including any necessary
governmental approvals.  The transaction is expected to close on or around
Sept. 30, 1999.
    Chicago-based Borg-Warner Automotive, Inc. is a product leader in highly
engineered components and systems for vehicle powertrain applications
worldwide.  The company operates 54 manufacturing and technical facilities in
13 countries serving worldwide vehicle manufacturers.  Customers include Ford,
DaimlerChrysler, General Motors, Toyota, Caterpillar, Navistar, PSA and VW
Group.  Website at http://www. bwauto.com .
    Founded in 1987, Carlyle is a Washington, D.C.-based global private equity
firm that originates, structures and acts as the lead equity investor in
management-led buyouts, private placements, and venture capital transactions
with approximately $5 billion of capital under management.

    Statements contained in this news release may contain forward-looking
statements as contemplated by the 1995 Private Securities Litigation Reform
Act that are based on management's current expectations, estimates and
projections.  Words such as "expects," "anticipates," "intends," "plans,"
"believes," "estimates," variations of such words and similar expressions are
intended to identify such forward-looking statements.  Forward-looking
statements are subject to risks and uncertainties, which could cause actual
results to differ materially from those projected or implied in the forward-
looking statements.  Such risks and uncertainties include:  fluctuations in
domestic or foreign automotive production, the continued use of outside
suppliers by original equipment manufacturers, fluctuations in demand for
vehicles containing the Company's products, general economic conditions, as
well as other risks detailed in the Company's filings with the Securities and
Exchange Commission, including the Cautionary Statements filed as Exhibit 99.1
to the Form 10-K for the fiscal year ended December 31, 1998.