Wescast Industries Inc.

Wescast Industries Inc.

November 01, 2005 09:12 ET

Wescast Announces New European Business

BRANTFORD, ONTARIO--(CCNMatthews - Nov. 1, 2005) - Wescast Industries Inc. ("Wescast")(TSX:WCS.SV.A) announced today that its European business unit, Wescast Hungary Autoipari Rt., has been awarded new business contracts with PSA Peugeot Citroen, Volkswagen AG and Ford of Europe.

PSA Peugeot Citroen sourced Wescast to supply, beginning in the fourth quarter of 2005, cast manifolds for its 4 cylinder DV4, 1.4L diesel engine program (Ford Focus and Fusion, Citroen and Peugeot), DW 8 1.9L diesel engine program (Peugeot Partner, Boxter, Citroen Berlingo) and TUL4 1.6L gasoline engine program (Peugeot and Citroen Berlingo).

Volkswagen AG has chosen Wescast to provide, beginning in the fourth quarter of 2005, cast, machined and assembled manifolds to its Salzgitter engine plant for the 2.5L 5 cylinder diesel engine (Touareg, T5). Wescast successfully demonstrated that its cast iron design provided packaging advantages and also increased durability as compared to the original stainless steel fabricated version.

Ford of Europe selected Wescast to supply cast and machined manifolds for its 4 cylinder Lynx 1.8L diesel engine program (Focus, C-Max, Transit Connect, New Mondeo, New Galaxy) and on the 3.6L Lion V8 engine (Range Rover, Range Rover Sport). Both programs are expected to begin production in 2006.

"These new contracts are validation of our global strategy to diversify our customer base and strengthen our relationship with current customers as they expand in Europe," said Ed Frackowiak, Chairman and CEO of Wescast. "We are very pleased to have taken these steps that will bring our Hungarian operations closer to full capacity and increase our share in the very competitive European automotive market."

About Wescast

Wescast Industries Inc. is the world's largest supplier of exhaust manifolds for passenger cars and light trucks. The Company designs, casts, machines and assembles high-quality iron exhaust manifolds, turbine housings and integrated turbo manifolds for automotive OEMs. The Company's global sales and design activities are co-ordinated through its technical development centre in Canada and supported by sales and design centres in the United States, Japan and Europe. The Company operates seven production facilities in North America and Europe, including a 49% interest in United Machining Inc., an accredited Minority supplier in Michigan. The Company is recognized worldwide for its quality products, innovative design solutions and highly committed workforce.

Learn more at www.wescast.com.

Forward Looking Statements

Wescast and its representatives may periodically make written or oral statements that are "forward-looking", including statements included in this news release and in our filings with applicable Securities Commissions and in reports to our stockholders. These statements may be identified by words such as "believe," "anticipate," "project," "expect," "intend" or other similar expressions, and include all statements which address operating performance, events or developments that we expect or anticipate may occur in the future (including statements relating to future sales or earnings expectations, volume growth, awarded sales contracts and earnings per share expectations or statements expressing general optimism about future operating results). Such statements involve risks and uncertainties that may cause unanticipated events and actually evolve to be materially different from those either expressed or implied. These factors include, but are not limited to, risks associated with the automotive industry, production, marketing and transportation such as loss of market, volatility of prices, currency fluctuations, environmental risks, competition from other producers and ability to access sufficient capital from internal and external sources; as a consequence, actual results may differ materially from those anticipated in the forward-looking statements. For more detailed information regarding these risks you may refer to Wescast's publicly filed documents with applicable Canadian securities authorities. Wescast undertakes no obligation to update any of these forward-looking statements.

Contact Information

  • Wescast Industries Inc.
    Mr. Ed Frackowiak
    Chairman & Chief Executive Officer
    (519) 750-0000