Delphi Wins New Diesel Common Rail Contract with Hyundai Motor Company

Delphi Will Provide Euro V System for Future Hyundai-Kia Models to Be Sold in Korea, Europe and Other Markets Worldwide

TROY, Mich., Sept. 9, 2005; The Auto Channel reported that Hyundai and Kia Motors have selected Delphi Corp. to supply Euro V diesel common rail system on two engine families. Delphi will supply the pump, injectors, rails and electronic control unit to help Hyundai-Kia meet Euro V emission standards. Further details of the contract are kept confidential at the customer's request.

The new business affirms Delphi's growing relationship with Hyundai-Kia in diesel technologies. Delphi has been supplying them common rail systems since 2001. From early 2006, Delphi will begin supplying Hyundai-Kia with Euro IV-compliant Multec diesel common rail systems.

"As Hyundai-Kia strives to elevate its brand value to the level of the world's elite auto manufacturers, technology such as Delphi's common rail system can help the company differentiate its powertrain," said Guy C. Hachey, president, Delphi Energy & Chassis.

"We've been supplying diesel common rail technology to Hyundai-Kia since 2001, and have worked diligently to maintain and grow our relationship," Hachey said. "This is an exciting program for Delphi. We are committed to helping solve fuel economy and emission challenges for our customers. This application helps validate our capability and further secures our place among the top global diesel suppliers."

Delphi will assemble the common rail systems for Hyundai-Kia locally in the future.

"Last year we initiated a plan to further expand our diesel presence in Asia-Pacific," said Peter Lakin, business line executive Delphi Diesel Systems. "We have and will continue to expand technical centers, open new facilities and add additional staff throughout the region in anticipation of programs such as this recent win with Hyundai-Kia. I'm confident our diesel team will exceed our customer's expectations and further help Hyundai-Kia penetrate the diesel market," Lakin said.

Delphi's diesel common rail system provides higher injection pressures, improved nozzle design, superior hydraulic stability and enhanced software strategies versus other available systems. Delphi's diesel common rail delivers more complete combustion and provides more accurate control of very small volumes of fuel, introducing the option of up to five injection events.

  Delphi's diesel engine management system portfolio includes:
  -- fuel injection systems (common rail, rotary injection system,
     electronic unit injection systems,and electronic unit pump systems);
  -- Engine Control Units (ECUs);
  -- air management systems (exhaust gas recirculation valves, sensors);
     and,
  -- and exhaust aftertreatment systems (catalysts).

Delphi's Common Rail technology already has attracted substantial business with customers such as DaimlerChrysler (Mercedes), Renault-Nissan, PAG (Ford, Jaguar), Ssangyong, PSA Peugeot Citroen, Tata Motors, Suzuki/Santana, Hyundai Motor Corporation, as previously announced, and three other undisclosed customers. Delphi is the world's second leading provider of diesel common rail systems. In 2004, Delphi's Diesel sales totaled approximately $1.5 billion.