Federal-Mogul Expands Footprint in China to Meet Customer Demand for Advanced Piston Technologies

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Qingdao manufacturing facility investment enables local production of

lightweight, fuel-efficient pistons for Chinese automotive market



Shanghai, China, May 8, 2014..
Federal-Mogul Holdings Corporation's (NASDAQ: FDML) Powertrain Division has increased its piston manufacturing footprint in China to meet the growing demand for its advanced Elastoval® piston products that lower emissions and reduce fuel consumption.  The expansion of the company's Qingdao piston manufacturing facility aligns with the company's strategy to locally serve China's domestic and foreign automakers.

Federal-Mogul's Qingdao manufacturing facility is located in the Qingdao Economic and Technological Development Zone, Qingdao, Shandong Province, PRC, and employs 800 people.  The expansion represents a 30 percent increase to the production floor to, in part, accommodate the manufacture of Elastoval pistons for three additional foreign transplant OE engine customers later this year.  

"Federal-Mogul's commitment to its customers in China, and throughout the world is to provide advanced powertrain solutions that reduce emissions and improve fuel economy," said Rainer Jueckstock, Federal-Mogul Co-CEO and CEO, Powertrain Division. "The expansion at Qingdao reflects that commitment, as we develop our most advanced, state-of-the art piston technologies directly onsite, supporting local customers with global powertrain solutions."

The engine piston plays a critical role in providing fuel-efficient, emissions-compliant solutions for downsized, turbocharged engines that produce higher peak temperatures and pressures during the combustion process. These engines are experiencing rapid growth in the Chinese automotive market. Federal-Mogul's Elastoval technology combines high-strength piston architecture with a low friction, durable piston skirt coating to deliver a lightweight design that meets the needs of these demanding engine platforms.

"Federal-Mogul's expertise in design and manufacturing has enabled us to provide solutions that fit the demanding requirements of the China market," said Steven Krause, operations director, Federal-Mogul Powertrain, East Asia. "Federal-Mogul and the Qingdao operation are proud to be leaders in this technology and to participate in this growing segment. The investment in advanced manufacturing systems and capacity reflect our commitment to enable customers to be the most efficient and competitive players in the technology-driven automotive industry in China."

The expanded facility also will produce Federal-Mogul's Advanced Elastoval® II aluminum pistons, which are designed to address the needs of China's highly efficient passenger car gasoline engines.

The successful development and launch of Elastoval piston technology, combined with China's light vehicle market growth and call for more fuel-efficient engines, drove the need for the latest floor space expansion and technology investments.

"The expansion of Federal-Mogul's Qingdao Piston facility and the new technologies that will be produced there enables us to further increase our production, while at the same time, effectively and efficiently serve our valued customers," said Frank Zhou, Qingdao Piston facility General Manager.

Federal-Mogul began operating in China in 1995. Today, the company operates 12 wholly-owned or joint venture companies in nine locations. The Shanghai-based Asia Pacific Technical Center is one of Federal-Mogul's globally networked engineering and technical centers, providing leading edge technologies and services to domestic and foreign transportation manufacturers throughout Asia.

About Federal-Mogul Holdings Corporation

Federal-Mogul Holdings Corporation (NASDAQ: FDML) is a leading global supplier of products and services to the world's manufacturers and servicers of vehicles and equipment in the automotive, light, medium and heavy-duty commercial, marine, rail, aerospace, power generation and industrial markets. The company's products and services enable improved fuel economy, reduced emissions and enhanced vehicle safety.

The corporation operates two independent business divisions, each with a chief executive officer reporting to Federal-Mogul's Board of Directors. The Powertrain Division designs and manufactures original equipment powertrain components and systems protection products for automotive, heavy-duty, industrial and transport applications. The Vehicle Components Division sells and distributes a broad portfolio of products through more than 20 of the world's most recognized brands in the global vehicle aftermarket, while also serving original equipment vehicle manufacturers with products including braking, chassis, wipers and other vehicle components.  The company's aftermarket brands include ANCO® wiper blades; Champion® spark plugs, wipers and filters; AE®, Fel-Pro®, FP Diesel® Goetze®, Glyco®, Nüral®, Payen® and Sealed Power® engine products; MOOG® steering and suspension parts; and Ferodo® and Wagner® brake products.

Federal-Mogul was founded in Detroit in 1899. The company employs 44,300 people in 33 countries, and its worldwide headquarters is in Southfield, Michigan, United States. For more information, please visit www.federalmogul.com.

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