MS: BorgWarner Drivetrain Systems Announces Expansion at Water Valley Facility, Creates 120 New Jobs

Water Valley, Miss. (August 24, 2010) –BorgWarner Drivetrain Systems, a global powertrain supplier, has announced the expansion of its operations in Water Valley, Miss. The expansion will create approximately 120 new jobs at the facility by the end of 2012. Some of these positions are expected to be filled by current employees as the company phases out production of some older product lines. Currently, the facility employs 300 workers.

“This is welcome news. I am grateful to BorgWarner officials for creating these new jobs in Water Valley and for their continued investment in Mississippi,” said Gray Swoope, executive director of the Mississippi Development Authority (MDA). “I am pleased MDA has the tools necessary to help companies expand during these challenging economic times.”

BorgWarner Drivetrain Systems plans to introduce a new generation of transmission controls, known as mini direct-acting solenoids, to the production line-up at the Water Valley facility. The new product is expected to add two new production lines to the facility over the next three years. In addition, BorgWarner plans to continue supplying Chrysler LLC and General Motors with transmission solenoids and control modules already produced at the facility.

“Car makers around the world rely on BorgWarner for the technologies that help drivers feel good about driving. Our century-long track record of innovation is built by the employees who invent, produce and deliver these advanced technologies,” said John Sanderson, president and general manager of BorgWarner Drivetrain Systems. “We are pleased that our latest control technology enables us to expand our operations in Water Valley and appreciate the support we’ve received on this important project.”

MDA worked with company and local officials to help facilitate the expansion through the Job Protection Grant Program. The agency, as well as the local workforce investment district, also provided assistance for workforce training. In addition, the Tennessee Valley Authority (TVA) provided support for the plant’s expansion.

BorgWarner Drivetrain Systems produces highly engineered drivetrain technologies for the global vehicle industry. Key product segments include dual clutch modules; wet friction clutch components and systems; mechatronic transmission control modules; electro-hydraulic solenoid valves; mechanical clutch assemblies; all-wheel drive couplings, transfer cases and software/controls and electric vehicle transmissions. These systems improve fuel economy and performance while enhancing vehicle stability. BorgWarner Drivetrain Systems is a trusted supplier to virtually every major light vehicle and automatic transmission producer in the world today.

Auburn Hills, Michigan-based BorgWarner Inc. (NYSE: BWA) is a product leader in highly engineered components and systems for vehicle powertrain applications worldwide. The company operates manufacturing and technical facilities in 60 locations in 18 countries. Customers include VW/Audi, Ford, Toyota, Renault/Nissan, General Motors, Hyundai/Kia, Daimler, Chrysler, Fiat, BMW, Honda, John Deere, PSA and MAN. The Water Valley manufacturing facility is owned by BorgWarner Emissions Systems Inc.

Mississippi Development Authority is the State of Mississippi’s lead economic and community development agency. Nearly 300 employees are engaged in providing services to businesses, communities and workers in the state. While the agency is best known for its efforts to recruit new businesses to Mississippi, the Authority provides services to promote tourism, help communities improve their quality of place, help existing employers identify and meet opportunities and challenges and help workers improve their skills – all with the goal of improving the quality of life and economic well-being of Mississippians. For more information, visit MDA’s website at www.mississippi.org.