BorgWarner Inc.

Company Profile

■URL

http://www.borgwarner.com

■Address

3850 Hamlin Rd, Auburn Hills, Michigan, 48326, USA

Business Overview

-The Company is an automotive supplier specializing in manufacturing components and systems to improve the performance, efficiency and environmental qualities for powertrains.

-The Company is organized into two operating segments: Engine and Drivetrain.

Recent Acquisitions

-In November 2015, the Company finalized its acquisition of Remy International, Inc., a manufacturer of starter motors and alternators.

-In January 2015, the Company completed the acquisition of the remaining 51% of BERU Diesel Start Systems Pvt. Ltd., a glow plug manufacturer, from its joint venture partner.

-In February 2014, the Company acquired 100% of the equity interests in Gustav Wahler GmbH und Co. KG, a producer of exhaust gas recirculation (EGR) valves, EGR tubes and thermostats.

Business Highlight

-In the fiscal year ended December 31, 2016, the Company had a new business backlog of between USD 1.35 billion and USD 1.95 billion for the 2017 through 2019 period. Approximately 38% of the backlog is comprised of products from the Company’s Drivetrain segment, while the remaining 62% of the backlog is comprised of products from the Company’s Engine segment. The distribution of the Company’s backlog highlights its emphasis on its Engine segment. The product line with the largest share of the Company’s backlog are turbochargers, comprising a combined 38% of the backlog between gasoline and diesel turbochargers.

Competitors

Engine

Turbochargers Emissions systems Timing devices and chains Thermal systems
-Bosch Mahle Turbo Systems
-Cummins Turbo Technology
-Honeywell
-IHI
-Mitsubishi Heavy Industries (MHI)
-Bosch
-Denso
-Eldor
-Mahle
-NGK
-Pierburg
-T.RAD
-Denso
-Iwis
-Schaeffler
-Tsubaki Group
-MAHLE Behr
-Horton/Sachs
-Usui Kokusai Sangyo
-Xuelong


Drivetrain

Transmission Torque transfer Rotating electrical devices
-Bosch
-Dynax
-F.C.C.
-Schaeffler
-American Axle
-GKN Driveline
-JTEKT
-Magna Powertrain
-Bosch
-
Denso
-Melco
-Valeo

Shareholders

-Listed on New York Stock Exchange.

Products

Engine
Turbochargers
-Turbochargers
-Variable turbine geometry turbochargers
-Multi-stage turbochargers
-Turbochargers with waste gates

Chain products: Morse TEC
-Engine timing systems

  • Chains
  • Sprockets, arms, guides
  • Tensioners

-Variable cam timing

  • Cam torque actuated phasers
  • Oil-pressure actuated phasers
  • Torsional assist phasers

-HY-VO drivetrain chain systems

Thermal systems
-Coolant pumps

  • Heavy-duty controlled coolant pumps
  • Passenger car coolant pumps

-Fan drives

  • DuroSpeed fan drives
  • Kysor on/off fan drives
  • Viscous fan drives
  • Visctronic fan drives

-Fans

  • Polymer fans

Emissions systems
-Compact brushless actuators
-EGR systems

  • Commercial diesel EGR coolers
  • Commercial diesel EGR valves
  • EGR by-pass valves
  • EGR modules
  • EGR tubes
  • Passenger vehicle EGR coolers
  • Passenger vehicle EGR valves

-Secondary air systems (SAS)

Diesel cold start, gasoline ignition and electronics & sensor technology: BERU Systems
-Ignition technology

  • High voltage connecting systems
  • Contact sets
  • Distributor caps/Distributor rotors
  • Ignition condensers
  • Ignition modules
  • Ignition coils
  • EcoFlash high frequency ignition systems

-Diesel cold-start technology

  • Diesel injections
  • Pressure sensor glow plugs (PSG)
  • Glow plugs
  • Ceramic glow plugs
  • Instant start systems (ISS)
  • Cold start aids for commercial vehicles

-Heaters and sensors

  • PTC heaters
  • Temperature sensors
  • Speed sensors
  • Distance sensors
  • Media sensors
  • Oxygen sensors
  • Interference suppression parts
  • Cabin heaters

-Others

  • Fan components
  • Aerials
  • Automotive lightings
  • Wiper blades

-Thermostats

  • Thermostat inserts
  • Integrated thermostats
  • Electrically heated thermostats
  • Map-controlled sleeve valve thermostats
  • Electromotoric thermostats
  • Oil temperature thermostats
  • Thermoswitches

Air supply system for fuel cell vehicles

Drivetrain

Transmission systems
-Clutch systems

  • Brake plates
  • Clutch assemblies
  • Collated packs
  • Single sided friction plates
  • Double sided friction plates
  • DualTronic clutch systems
  • One-way clutches
  • Separators
  • Torque converter clutches
  • Torsional vibration dampers
  • Transmission bands

-Control systems

  • DualTronic control modules
  • High pressure valves
  • Low leak variable bleed solenoids
  • On-off and pulse modulated solenoids (PWM)
  • Pressure relief valves
  • Proportional mini direct-acting variable force solenoids (MDA VFS)
  • Transmission solenoid modules
  • Variable force/Proportional solenoids

Torque transfer systems
-RWD/AWD transfer cases
-FWD/AWD couplings
-Hybrid/Electric technology
-Cross axle systems

Chain products: Morse TEC
-Hy-Vo drivetrain chain systems

History

1880 Morse Equalizing Spring Company, forerunner of Morse Chain, was founded.
1928 BorgWarner Corporation was formed. Founding companies included Borg & Beck, Marvel-Schebler, Warner Gear and Mechanics Universal Joint.
1929 Acquired Morse Chain.
1964 Established a joint venture, NSK-Warner with NSK Limited (Japan).
Apr. 1995 Purchased Precision Forged Products Division of Federal-Mogul Corporation.
1995 Entered into a joint venture with Divgi Metalwares Private Ltd.
Entered into a joint venture with Shiyan Automotive Transmission Factory ("Shiyan") in China. The venture is named Huazhong Warner Transmission Company Ltd.
Jun. 1996 Acquired Coltec Industries Inc.
1996 Three automotive business were acquired from Coltec industries, including Holley Automotive.
Oct. 1997 Acquired a 63% interest in Kuhnle, Kopp & Kausch A.G.
May 1998 Opened a new headquarter for Morse TEC Europe.
Oct. 1998 Acquired turbocharger business from AG Kuhnle.
Mar. 1999 Acquired Kuhlman Corp., a manufacturer of proprietary engine components, including turbochargers, fans, fan drives and other products.
May 1999 Formed Lapeer Warner LLC with Lapeer Metal Stamping Co. Inc.
Oct. 1999 Acquired the Fluid Power Division of Eaton Corporation, a manufacturer of powertrain cooling solutions.
May 2000 Formed a strategic alliance with Valeo Engine Cooling to collaborate on the development of cooling systems for light, medium and heavy truck engine vehicle applications.
Jun. 2001 Formed a 50-50 joint venture with Hitachi Ltd. Automotive Products Group. The JV, called Hitachi Warner Turbo Systems Ltd.
Sep. 2002 Established Morse TEC Korea, near Seoul.
Feb. 2007 Opened a new 34,000-square-foot European Drivetrain Competence Center in Ketsch, Germany.
Sep. 2009 Made BERU AG (Currently BorgWarner BERU Systems GmbH) its wholly-owned subsidiary.
Established BorgWarner United Transmission Systems, a joint venture with 12 automakers in China.
2010 Established China Technical Center in Shanghai, China.
Established a new facility to provide manufacturing, sales and engineering support for the Thermal Systems business in Chennai, India.
Acquired Dytech ENSA to expand its product portfolio in exhaust gas recirculation technologies.
2011 Acquired the Swedish-based Traction System division of Haldex AB.
2012 Established a new production plant and engineering center in Ningbo, Jiangsu Province, China.
Established a new factory and engineering center in Itatiba, Brazil.
Divested its spark plug business to Federal-Mogul Corporation.
2014 Acquired 100% of the equity interests in Gustav Wahler GmbH und Co. KG, a producer of exhaust gas recirculation (EGR) valves, EGR tubes and thermostats.
Jan. 2015 Acquired remaining 51% of BERU Diesel Start Systems Pvt. Ltd., a glow plug manufacturer, from joint venture partner, making it a wholly owned subsidiary.
Nov. 2015 Acquired Remy International, Inc., a manufacturer of starter motors and alternators.

Supplemental Information 1