Tenneco Inc. (ticker: TEN, exchange: New York Stock Exchange) News Release
April 29, 2008
TENNECO EXPANDS EMISSION CONTROL BUSINESS WITH TOYOTA
Company supplying 2008 Sequoia
Lake Forest, Illinois, April 29, 2008 – Tenneco Inc. (NYSE: TEN) announced that it is expanding its business in North America with Toyota Motor Engineering & Manufacturing North America, Inc. with the launch of emission control business on the 2008 Toyota Sequoia.
"Our goal is to continue to build on our long-term supplier relationship with Toyota, and being selected to supply emission control systems on this program reflects our progress in achieving this strategic objective," said Gregg Sherrill, Tenneco chairman and CEO. "We continue to develop business with Toyota through strong operational performance, by providing advanced technologies, and through our ability to serve them on a global basis."
For the Sequoia, which is already in production, Tenneco is supplying the full exhaust system. Manufacturing for the Sequoia is taking place at Tenneco’s U.S. facilities in Smithville, Tenn., and Evansville, Ind.
"This platform exemplifies Tenneco’s global engineering capabilities with development work being done at the company’s engineering centers in Grass Lake, Michigan, Yokohama, Japan, and with our alliance partner, Futaba " Sherrill said. "This business also showcases Tenneco’s effective use of advanced process technology by utilizing laser welding to reduce product mass and increase manufacturing flexibility."
Tenneco recently announced that, in 2007, the company won $200 million in new business with five Japanese vehicle manufacturers. The $200 million in new business includes the Sequoia business announced today. The Sequoia platform is also included in Tenneco’s projection earlier this year that it will achieve an average compounded annual OE revenue growth rate of 11% to 13% between 2008 and 2012.
Tenneco is a $6.2 billion manufacturing company with headquarters in Lake Forest, Illinois and approximately 21,000 employees worldwide. Tenneco is one of the world’s largest designers, manufacturers and marketers of emission control and ride control products and systems for the automotive original equipment market and the aftermarket. Tenneco markets its products principally under the Monroe®, Walker®, Gillet™ and Clevite®Elastomer brand names.
This press release contains forward-looking statements. Words such as "anticipate," "expects," "will", "continue" and similar expressions identify forward-looking statements. These forward-looking statements are based on the current expectations of the company (including its subsidiaries). Because these forward-looking statements involve risks and uncertainties, the company's plans, actions and actual results could differ materially. Among the factors that could cause these plans, actions and results to differ materially from current expectations are: (i) changes in automotive manufacturers' production rates and their actual and forecasted requirements for the company's products, including the company's resultant inability to realize the sales represented by its awarded book of business; (ii) changes in consumer demand and prices, including decreases in demand for automobiles which include the company's products, and the potential negative impact on the company's revenues and margins from such products; (iii) the general political, economic and competitive conditions in markets where the company and its subsidiaries operate; (iv) workforce factors such as strikes or labor interruptions; (v) material substitutions and increases in the costs of raw materials; (vi) the company's ability to develop and profitably commercialize new products and technologies, and the acceptance of such new products and technologies by the company's customers; and (vii) the timing and occurrence (or non-occurrence) of transactions and events which may be subject to circumstances beyond the control of the company and its subsidiaries. The company undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date of this press release.