The Timken Company Strengthens European Distribution

20 January 2000
The Timken Company Strengthens European Distribution
    CANTON, Ohio, Jan. 20 -- The Timken Company
announced today steps to improve significantly its ability to serve customers
in Europe.
    (Photo:  http://www.newscom.com/cgi-bin/prnh/19991012/TKRLOGO )
    "To improve our ability to provide products to customers on a timely
basis, maximize inventory and safety stocks and streamline shipping and
transportation, we will transfer distribution activities from our existing
facilities to a central warehouse operated by an external service provider,
FDX Supply Chain Services in Strasbourg, France," said Georges Lammoglia,
managing director -- bearings -- Western Europe and Turkey.
    During this year, distribution activities will be moved from the existing
warehousing and shipping facilities in Haan (Germany), Daventry (England), Les
Ulis (France), Colmar (France) and Brescia (Italy) to Strasbourg. This
initiative is estimated to reduce employment at the facilities by
approximately 60.  The job reductions, which include hourly and salary
positions, will be through a combination of voluntary departures and
redundancies.  The existing sales offices at all the locations will continue
providing service to customers.  In the U.K., a smaller warehouse facility
will be established to serve local requirements.
    "The business environment in the distribution world has changed
substantially over the last few years and has become extremely competitive,
and we will more efficiently supply the European markets from a central
distribution center.  For the past 18 months, the company has been
rationalizing operations worldwide.  It has closed facilities and shifted
production among others to increase customer service and manufacturing
efficiencies," Mr. Lammoglia said.
    The Timken Company (NYSE: TKR; http://www.timken.com ) is a leading international
manufacturer of highly engineered bearings and alloy steels with operations in
25 countries.  The company employs nearly 21,000 people worldwide and reported
1999 sales of $2.5 billion.

    NOTE: Certain statements in this news release are or could be construed as
forward-looking. Factors that could cause actual results to differ materially
from these forward-looking statements include the ability to achieve the
benefits from the company's ongoing continuous improvement and rationalization
programs, and changes in customer demand. Additional factors are described in
the company's 1998 annual report, page 17, in the 1998 10-K and in the 10Q's
filed in 1999. The company undertakes no obligation to update any forward-
looking statement.