Bosch Automotive Aftermarket to Acquire the Friction Business of the Morse Group

Strengthening of the brake components program

STUTTGART, Germany and CHICAGO, Sept. 2 /PRNewswire/ -- Bosch has
announced it plans to acquire the brake friction business of the Morse
Automotive Corporation headquartered in Chicago, Illinois. The price of the
acquisition was not disclosed. The transaction is subject to the approval of
antitrust authorities. The Morse Group develops, manufactures, and markets
pads for disc brakes and linings for drum brakes, as well as brake calipers,
predominantly for the North American market. In fiscal 2007, its 1,640
associates generated sales of $157 million (roughly 115 million euros).
"For us, the brake products business is a strategic growth area, and we
consider brake pads to be a key element of this portfolio," said Robert
Hanser, president of the Bosch Automotive Aftermarket division. "The
acquisition of Morse's friction business is our entry into the production of
brake pads, as well as an opportunity to expand our position in the North
American market in a way which is consistent with our overall strategy." Bosch
plans to take over existing contracts with customers of Morse.
New business unit formed for brake systems
The business acquired from the Morse Group is set to be integrated into
the Bosch Automotive Aftermarket division, in a new business unit called
Braking Systems. The Morse Group plans to continue all of its other existing
aftermarket activities, such as the brake caliper business.
Apart from sales and marketing of automotive parts, the main focus areas
of the Bosch Automotive Aftermarket division are automotive workshop equipment
and the workshop concept Bosch Car Service. In fiscal 2007, the 5,000
associates of the Bosch Automotive Aftermarket division generated sales of
approximately $4.8 billion (roughly 3.5 billion euros).
The Bosch Group is a leading global supplier of technology and services.
In the areas of automotive and industrial technology, consumer goods, and
building technology, some 271,000 associates generated sales of over 46.3
billion euros (over $63 billion) in fiscal 2007. The Bosch Group comprises
Robert Bosch GmbH and its more than 300 subsidiaries and regional companies in
roughly 50 countries. This worldwide development, manufacturing, and sales
network is the foundation for further growth. Each year, Bosch spends more
than 3 billion euros for research and development, and applies for over 3,000
patents worldwide. The company was set up in Stuttgart in 1886 by Robert Bosch
(1861-1942) as "Workshop for Precision Mechanics and Electrical Engineering."
In North America, the Bosch Group manufactures and markets automotive
original equipment and aftermarket products, industrial automation and mobile
products, power tools and accessories, security technology, thermo-technology,
packaging equipment and household appliances. Bosch employs approximately
25,000 associates in more than 70 locations throughout the U.S., Canada and
Mexico, with reported sales of $9.5 billion in fiscal 2007. For more
information on the company, visit www.boschusa.com.
SOURCE Bosch LLC

Becky MacDonald of Robert Bosch LLC, +1-248-876-1393, Cell: +1-248-318-0354,
becky.macdonald@us.bosch.com