BWA BorgWarner Inc

AUBURN HILLS, Mich., March 5 /PRNewswire-FirstCall/ -- The board of directors of BorgWarner Inc. (NYSE:BWA) today announced the temporary suspension of the company's quarterly dividend of $0.12 per share until global economic conditions improve. "We are facing an unprecedented discontinuity in the marketplace," said Timothy Manganello, Chairman and CEO of the company. "We continue to expect positive earnings and positive cash flow from operations for the full year 2009 based on our previously stated auto industry production assumptions. We will continue to reduce costs and to carefully manage liquidity to position ourselves well for the future. Our balance sheet remains strong and this action will further strengthen our cash flow by $60 million annually. We intend to reinstate our dividend as soon as the automotive industry returns to a normalized level of activity." Auburn Hills, Michigan-based BorgWarner Inc. (NYSE:BWA) is a product leader in highly engineered components and systems for vehicle powertrain applications worldwide. The FORTUNE 500 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 Internet address for BorgWarner is: http://www.borgwarner.com/. Statements contained in this news release may contain forward-looking statements as contemplated by the 1995 Private Securities Litigation Reform Act that are based on management's current expectations, estimates and projections. Words such as "outlook", "expects," "anticipates," "intends," "plans," "believes," "estimates," variations of such words and similar expressions are intended to identify such forward-looking statements. Forward-looking statements are subject to risks and uncertainties, many of which are difficult to predict and generally beyond our control, that could cause actual results to differ materially from those expressed, projected or implied in or by the forward-looking statements. Such risks and uncertainties include: fluctuations in domestic or foreign vehicle production, the continued use of outside suppliers, fluctuations in demand for vehicles containing our products, changes in general economic conditions, and other risks detailed in our filings with the Securities and Exchange Commission, including the Risk Factors, identified in our most recently filed Annual Report on Form 10-K. We do not undertake any obligation to update any forward-looking statements. DATASOURCE: BorgWarner Inc. CONTACT: Mary Brevard of BorgWarner Inc., +1-248-754-0881 Web Site: http://www.borgwarner.com/

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