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$950 Million in New BorgWarner Business Expected

16 November 2000

$950 Million in New BorgWarner Business Expected; New Engine and Four-Wheel Drive Programs Drive Growth for 2001-2003
    CHICAGO, Nov. 15 BorgWarner Inc. today
announced $950 million of expected new powertrain business for 2001 through
2003.  About 43% of the new business is anticipated to be engine-related and
another 40% is expected in four-wheel drive systems.  The company is a product
leader in highly engineered components and systems for engines, automated
transmissions and four-wheel drive systems for vehicle makers worldwide.
    "Our technology is clearly the strong growth catalyst for this net new
business," said John F. Fiedler, chairman and chief executive officer of
BorgWarner.  "We believe that we can outpace the growth in our industry
because our technology addresses the needs of our vehicle-maker customers to
improve fuel economy, air quality and to provide solutions to the growing
concern about vehicle stability.  By leveraging our powertrain expertise
worldwide, we expect to broaden our customer base and increase our content in
new vehicle programs."
    Fiedler noted that the anticipated new business represents a 12% increase
over the previous three-year period, a significant accomplishment given the
impact of the weak euro and some customer delays and volume weakness in the
company's new business for 2001.  "Our investment in research and development
is evident in the new business momentum we are building.  The anticipated new
business over the coming three-year period reflects continued strength in our
engine products, the expansion of our four-wheel drive business and the
opening of an entirely new market for us, with our first business for
innovative transmission technology just beginning at the end of the period.
We expect that the value of each year's business will increase over the three
years."
    Significant programs during the period include chain-driven timing systems
for Honda, Ford and DaimlerChrysler engines; next generation turbochargers for
European customers; electronic engine cooling systems for a major North
American sport-utility and light truck maker; InterActive Torque
Management(TM) (ITM) 4WD systems for Acura; and 4WD transfer cases for General
Motors and Hyundai.  Also included are a number of transmission programs for
more efficient five-and six-speed automatic transmissions; continuously
variable transmissions in Europe, North America and Japan; and dual clutch and
controls modules for new concept automated manual transmissions in Europe.
    Fiedler also reiterated that the company expects to deliver full-year 2000
earnings above last year's level of $5.07 per share, exclusive of a
restructuring charge, and that  growth from continuing operations in 2001 is
expected to be about 3% to 5%, including the new business.