ArvinMeritor and Randon join to offer original equipment in South America

| 8/21/2002

ArvinMeritor, headquartered in Troy, MI, has announced a joint venture agreement with Randon Participacoes, Caxias do Sul, Brazil, to develop, manufacture and sell truck and trailer components to be marketed in South America. Under the agreement, Suspensys, previously a division of Randon, will become a 50/50 partnership between ArvinMeritor and Randon.

Since 1986, ArvinMeritor and Randon have been joint venture partners in Master Sistemas Automotivos Limitada. Master, also based in Caxias do Sul, is chartered to manufacture, assemble, and market on-highway heavy-duty brakes. Randon specializes in the manufacturing of road equipment and specialty vehicles, as well as automotive systems and components.

The new joint venture, Suspensys, will focus on truck suspensions, trailer axles and suspensions, and related wheel-end equipment. The joint venture will combine ArvinMeritor product technology with Randon manufacturing and operations expertise. Suspensys will have its own sales and marketing organization to interface with OEM customers and provide service and aftermarket support.

Currently, a 174,000 sq.-ft. manufacturing facility in Caxias do Sul is under construction specifically for the Suspensys products, and will be completed by November 2002.