BorgWarner to Build New Technology Center in Auburn Hills, Michigan
2 March 2000
BorgWarner to Build New Technology Center in Auburn Hills, Michigan
CHICAGO, March 2 -- BorgWarner announced today that as
a key part of its product leadership strategy, it expects to build a
175,000-square-foot Technology Center in Auburn Hills, Michigan, adjacent to
I-75 and west of Lapeer Road. Subject to satisfactory completion of due
diligence, ground will be broken in April. Completion is expected by early
2002.
"Many of our strategic initiatives are combining the best of the best
within the global BorgWarner organization," said John F. Fiedler, chairman and
chief executive officer, BorgWarner. "That is, they are being driven by the
sharpest thinking and the highest-level professional output of our people from
all over the world, across functions and operating groups. We have already
seen the benefits of maximizing our collective talents and resources with this
cross-business approach. The new Technology Center in Auburn Hills will be
the latest addition to a network of nine BorgWarner research and engineering
centers located around the world. Sharing engineering, R&D and other vital
resources enhances our approach to innovative teamwork."
Initially, about 425 employees will be based at the Technology Center,
which will serve as global headquarters for three of the company's business
groups -- BorgWarner Air/Fluid Systems, BorgWarner TorqTransfer Systems, and
BorgWarner Transmission Systems. The center will house functions including
engineering, R & D, advanced product development, and sales and marketing,
thus enhancing the company's cross-business capabilities and facilitating the
identification of emerging customer needs. Some corporate communications,
finance, information technology, patent and administration will also be based
there. No layoffs are expected to result from the move to the center.
"The most significant aspect of the Technology Center will be its ability
to unify our diverse businesses into a 'powertrain powerhouse' on behalf of
our customers," said John F. Fiedler, BorgWarner Chairman and Chief Executive
Officer. "As evidenced by several actions and initiatives announced during
1999, we are well on our way toward reaching our stated goal of doubling the
size of BorgWarner by 2004, primarily through internal growth. The new center
will help us get there with maximum efficiency and effectiveness."
Chicago-based BorgWarner is a product leader in highly engineered
components and systems for vehicle powertrain applications worldwide. The
company operates 60 manufacturing and technical facilities in 13 countries.
Customers include Ford, DaimlerChrysler, General Motors, Toyota, Caterpillar,
Navistar, PSA and VW Group. The Internet address for BorgWarner is
http://www.bwauto.com .
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.