ArvinMeritor Dedicates Cutting-Edge Manufacturing Facility Near Monterrey, Mexico

CIENEGA DE FLORES, Nuevo Leon, Mexico, Aug. 26, 2008 -- ArvinMeritor, Inc. dedicated a new $30-million manufacturing facility in this industrial city in northern Mexico, in a formal ceremony today. Equipped with the latest manufacturing technology, the plant is a state-of-the-art component production operation offering greater efficiencies and the highest quality components.

The 400,000-square-foot facility, which was completed in just nine months, will eventually employ 500 people. Today it employs 146 persons.

"We are making a significant investment in our production capacity and our capabilities to support our customers' needs," said Carsten Reinhardt, president, Commercial Vehicle Systems (CVS), ArvinMeritor.

"We have designed this facility - the first, all-new commercial axle manufacturing plant in 19 years - with a variety of breakthrough technologies, which will help establish ArvinMeritor with a world-class capability in gear-cutting and axle assembly. It will also provide a competitive edge by increasing our production capacity, enhancing the quality performance, and giving us greater flexibility in the manufacturing processes," said Reinhardt.

Initially, the plant will produce bevel gearing and front non-drive steer axle assemblies for U.S. and Canadian truck OEM assembly plants. The components also will support other U.S.-based ArvinMeritor assembly sites. The facility will provide the infrastructure to support targeted growth areas in off-highway components and the commercial vehicle aftermarket.

Special guests at the dedication were Alejandro Paez Aragon, Secretary of Economic Development, Nuevo Leon, and Miguel Angel Quiroga Garcia, Mayor, Cienega de Flores.

Reinhardt told the 100-plus guests at the ceremony that ArvinMeritor is proud to be partnering with local contractors and companies and continues to be committed to the communities in which it operates.

ArvinMeritor's commercial vehicle business also supplies customers from its aftermarket warehouse and distribution center in nearby Escobedo. A long-standing joint venture, Sistemas Automotrices de Mexico (Sisamex), also in Monterrey, manufactures axles, brakes and drivelines primarily for the Mexican market.

The company's light vehicle operations also have production facilities in Queretaro, Puebla and San Luis Potosi, Mexico.