McLaren Automotive Group Announces Operational Restructuring

16 September 1999

McLaren Automotive Group Announces Operational Restructuring, Core Business Group Name Change

    LIVONIA, Mich.--Sept. 15, 1999--McLaren Automotive Group has announced today a number of changes to take the company forward into the next fiscal year.
    With market input and in a move to better consolidate all of its assets under one name, the Asha Technologies division has been renamed McLaren Traction Technologies effective immediately. "We believe that the outstanding performance of the Gerodisc product line deserves the high performance name of McLaren," said Wiley McCoy, president of McLaren Automotive Group.
    With this change in name, McLaren also announced further restructuring of the Santa Barbara operations. To better align costs with revenues, the staff in this location has been reduced. These actions are being taken to better position the Gerodisc technology for growth while McLaren continues to pursue additional business with its current and future clients.
    As a part of this process, McLaren Traction will continue to build support activities in the Detroit area to better serve its automotive clients. As application support of its clients continues to grow, the Group plans to add people to the Livonia, Mich. location.
    Said President McCoy, "These decisions are always difficult since they affect people, but we must be firm in our resolve to move this company forward, and as GERODISC is one of the "jewels" in the Groups portfolio, we must position it properly to suit our clients and shareholders."
    The stock is traded on the Nasdaq Small Cap Market .

    This release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to be covered by the safe harbor created thereby. These statements include the plans and objectives of management for future operations. The forward-looking statements included herein are based on current expectations that involve numerous risks and uncertainties. Assumptions relating to the foregoing involve judgements with respect to, among other things, future economic, competitive, and market conditions and future business decisions, all of which are difficult or impossible to predict accurately and many of which are beyond the control of the company. Although the company believes that the assumptions underlying the forward-looking statements are reasonable, any one of the assumptions could be inaccurate and, therefore, there can be no assurance that the forward-looking statements included in the release will prove to be accurate.