Dana Corporation
will provide front and rear axle assemblies and front and rear driveshaft assemblies
for light trucks and sport-utility vehicles to be produced in the United States
by a major Japanese automotive manufacturer beginning in 2004. The combined annual
value of this new business is approximately $US100 million.

Dana will begin production of Spicer rear axle assemblies for the customer
in May 2003. Outfitted with limited-slip differentials, the assemblies will
be produced at Dana’s Columbia, Missouri, facility. Axle volume is expected
to total approximately 180,000 units annually.

In addition, Dana will support the programme with Spicer 1310 series front
and rear steel main driveshafts, maintenance-free universal joints, and aluminum
driveshafts. The products will be manufactured at a Gordonsville, Tennessee,
facility beginning in 2003. Combined driveshaft production is expected to total
approximately 250,000 assemblies at full production.