Tenneco Automotive has announced that the company has been awarded more than $400 million annualised in new contracts with major global OEM customers to supply advanced emission control and ride control products and systems.

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These five new contracts will launch in late 2006 and 2007, the company says.


Tenneco Automotive will supply two light vehicle OEMs in North America with diesel exhaust systems for various full size pick-up trucks and vans, and medium duty commercial truck models. The company also won a contract with a commercial vehicle OEM to supply full diesel exhaust systems for a medium duty diesel truck platform. The company was also named the full exhaust system supplier on a new generation of crossover vehicles to be produced in North America.


These four exhaust contracts are expected to generate about $400 million annually.


Additionally, the company’s ride control business secured another OEM contract to supply its Continuously Controlled Electronic Suspension (CES) technology on a European passenger vehicle platform. This platform is expected to generate $12 million annually.

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“We continue to grow our original equipment book of business by leveraging our global engineering capabilities and advanced technologies,” said Mark P. Frissora, chairman and CEO, Tenneco Automotive. “These significant new business wins further strengthen our position as a leading provider of diesel after treatment systems, and expand our electronic ride control share with leading luxury vehicle manufacturers in Europe.”


Tenneco Automotive says it replaced competitors on these platforms, making all of this business new to the company. However, the estimated revenues are not necessarily incremental to the company’s current OE book of business. The revenue from these new business awards and their impact on the OE book of business will depend on a number of other factors including changes in customer requirements, consumer preferences, price changes and currency fluctuations, Tenneco says.