Exide Agrees to Acquire GNB From Pacific Dunlop Limited

10 May 2000
Exide Agrees to Acquire GNB From Pacific Dunlop Limited
    READING, Pa., May 9 Exide Corporation , today
announced it has entered into an agreement to acquire the global battery
business of Australian-based Pacific Dunlop Limited , including
its United States subsidiary GNB Technologies, for approximately $368 million
(including $333 million in cash and four million Exide common shares).
    The acquisition, which is expected to close in the fall of 2000, is
subject to due diligence, regulatory review and financing.
    Robert A. Lutz, Chairman, President and Chief Executive Officer at Exide,
said, "While this transaction is still subject to careful examination, the
potential acquisition of GNB makes tremendous strategic sense and is a
significant step in our remaking of Exide as the world leader in stored
electrical energy."
    Headquartered in Atlanta, with sales of nearly $1 billion annually, GNB is
a leading U.S. and Pacific Rim manufacturer of both automotive and industrial
batteries.
    In addition to producing such widely known automotive batteries as
Champion (R), Stowaway and National, GNB is a major supplier to automotive
manufacturers in North America and Australia.
    The company also supplies approximately 20 percent of the industrial
batteries sold in North America, including those used in both motive and
standby-power (telecom/power-control) applications.
    "There are remarkable synergies between the two companies, with very
little overlap when it comes to markets or customers.  GNB has a strong U.S.
industrial business, matched by Exide's industrial strength in Europe.
    "On the automotive side, through efficiencies and synergies, the combined
North American business will be able to provide a greater range of products
through a much more efficient distribution system.
    "The combination of GNB's award-winning cast-positive silver-alloy
technology, Exide's state-of-the-art expanded-metal-grid technology and its
high-performance spiral-grid technology will provide customers with greater
product choices at competitive prices," Lutz said.
   Rod Chadwick, Managing Director of Pacific Dunlop, said, "This deal will
be great for both Exide and Pacific Dunlop.  Pacific Dunlop will now be able
to concentrate its management attention on its remaining core businesses while
retaining a major equity interest in the true leader in this exciting global
industry."
    Exide will conduct an analyst and investor call to discuss the proposed
acquisition and other matters on May 10, 2000 at 10 AM eastern standard time.
The call is available to investors in a real-time, listen-only format on the
Internet at http://www.streetfusion.com .  The call will be repeated on
(U.S. 888-747-3446; international 703-871-3086; confirmation number 4212407).