BorgWarner Breaks Ground for Turbocharger Operation in Poland

AUBURN HILLS, Mich., March 25 /PRNewswire-FirstCall/ -- BorgWarner broke ground for a new production facility in Rzeszow, Poland, where it plans to produce an initial 500,000 turbochargers for European car makers beginning in 2009, with expansion in the next two years to produce up to two million units. The location in southeast Poland offers economic advantages and allows BorgWarner to serve vehicle manufacturers in both Western and Eastern Europe. The 54,000-square-foot (5,000-square-meter) operation is expected to create about 200 jobs.

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"Increasing demand for fuel-efficient, turbocharged diesel and gasoline engines is driving significant growth for BorgWarner's turbocharger business, especially in Europe," said Roger Wood, President and General Manager, BorgWarner Turbo & Emissions Systems. "The new plant in Poland fits BorgWarner's global growth strategy and demonstrates our commitment to Europe as an industrial location." When completed, the new facility will be BorgWarner's 24th production plant in Europe.

BorgWarner expects turbocharged light vehicle diesel engine production to grow by nearly 20% in Europe, from about 9.8 million units to 11.6 million units in 2012. Over the same period, the European turbocharged gasoline engine market is anticipated to triple from about 1.1 million units to 3.0 million units.

BorgWarner Turbo & Emissions Systems is a leading global producer of turbochargers, exhaust gas return valves and other engine air management systems for passenger cars, light trucks and commercial vehicles. These systems are designed to improve fuel economy, reduce emissions and enhance vehicle performance.

Auburn Hills, Michigan-based BorgWarner Inc. is a product leader in highly engineered components and systems for vehicle powertrain applications worldwide. The FORTUNE 500 company operates manufacturing and technical facilities in 64 locations in 17 countries. Customers include VW/Audi, Ford, Toyota, Renault/Nissan, General Motors, Hyundai/Kia, Daimler, Chrysler, Fiat, BMW, Honda, John Deere, PSA, and MAN. The Internet address for BorgWarner is: http://www.borgwarner.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, many of which are difficult to predict and generally beyond our control, that could cause actual results to differ materially from those expressed, projected or implied in or by the forward-looking statements. Such risks and uncertainties include: fluctuations in domestic or foreign vehicle production, the continued use of outside suppliers, fluctuations in demand for vehicles containing our products, changes in general economic conditions, and other risks detailed in our filings with the Securities and Exchange Commission, including the Risk Factors, identified in our most recently filed Annual Report on Form 10-K. We do not undertake any obligation to update any forward-looking statements.