Issue: Apr 2006


AAM Breaks Ground for its Changshu Gear & Axle Manufacturing Facility in China



by Alan Tran

AAM has acquired land-use rights for approximately 30 acres in an industrial park in the city of Changshu for the construction of a 180,000 square-foot, state-of-the-art, wholly owned manufacturing plant for its highly engineered driveline systems. Products scheduled for manufacture in the facility include independent rear drive axles (IRDA), power transfer units (PTU), integrated oil pan (IOP) front axle module and driveshafts for several customers, including SsangYong Motors, Beijing Benz DaimlerChrysler, General Motors and additional OEMs.

When fully operational, the facility will create approximately 350 engineering and manufacturing positions. William A. Smith has been appointed plant manager to oversee construction, build the organization, and be responsible for the future operation and launch of the products for AAM's customer base.

"We are extremely pleased to celebrate the ground breaking for AAM's first regional manufacturing operation here in Changshu, China," said AAM Executive Vice President, Worldwide Manufacturing Richard F. (Rick) Dauch. "China and Asia represent a large and growing market that we intend to serve with AAM's latest technology products, processes and systems."

AAM is a world leader in the manufacture, engineering, design and validation of driveline and drivetrain systems and related components and modules, chassis systems and forged products for light trucks, sport utility vehicles and passenger cars. In addition to its locations in the United States (in Michigan, New York and Ohio), AAM also has offices or facilities in Brazil, China, England, Germany, India, Japan, Mexico, Scotland and South Korea.

Certain statements contained in this press release which are not historical facts contain forward-looking information with respect to the Company's plans, projections or future performance, the occurrence of which involves risk and uncertainties that could cause the company's actual results or plans to differ materially from those expected by the company which include risk factors described in the Company's filings with the Securities and Exchange Commission.

Or visit the AAM website at http://www.aam.com/

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