Kuehne + Nagel Hungary

Federal-Mogul Motorparts to offer improved service solutions to customers for aftermarket parts through new distribution facility and warehousing and distribution contract with Kuehne + Nagel

New distribution center near Budapest officially opened today in the presence of Prime Minister Viktor Orbán. It will provide next-day deliveries to Eastern Europe and offer significant lead time reductions to the Middle East and North Africa.

Federal-Mogul Motorparts, a division of Federal-Mogul LLC, has agreed to a multi-year contract with Kuehne + Nagel to operate its new automotive replacement parts distribution center near Budapest, Hungary. The opening ceremony took place in the presence of Hungarian Prime Minister Viktor Orbán.

Located in Páty, 22 kilometers west of Budapest, the state-of-the art warehouse has a 23,000 sqm storage area and offers a full range of inventories for its target markets with well-known brands like as Ferodo®, Jurid®, Champion®, MOOG®, Payen®, Goetze® and BERU®*. The facility will employ more than 160 people and has the potential to be expanded by at least 33 percent to support volume growth or changing trading profiles.

This new built-to-suit logistics hub is about to be fully operational, following a successful test run. The logistics complex will serve customers in Southern, Eastern and Central Europe in conjunction with the company’s new distribution center in Willebroek, Belgium; the Páty facility will also serve customers in Africa and other markets adjacent to the EU. This investment reflects Federal-Mogul Motorparts’ ongoing strategy to optimize the performance of its supply chain and provide the world-class delivery performance its customers expect.

“The opening of our new distribution center in Hungary is the next logical step in our effort to better serve customers, including our long-term goal of being best-in-class in order-to-delivery time,” explained Andrew Sexton, President, EMEA Aftermarket and Regional President, EMEA, Federal-Mogul Motorparts. “Together with our new distribution center in Willebroek, our regional warehouses and improved supply chain capabilities, we believe this new facility positions Federal-Mogul Motorparts to be the first choice for customers in our product categories.”

Under the terms of the contract, Kuehne + Nagel will operate the facility, providing contract logistics services, such as warehouse services, receipt of goods and pick and pack operations, plus value-added services including labelling and kitting in customer-specific product configurations.

“We are very pleased to enter into a partnership with Federal-Mogul Motorparts in Hungary,” said Gianfranco Sgro, member of the Managing Board of Kuehne + Nagel International AG, responsible for Contract Logistics. “It proves our capabilities to specifically address the logistics needs of globally operating companies and underlines our expertise to deliver solutions that create day-to-day efficiency benefits and quality. This new contract is a key strategic win for Kuehne + Nagel in Hungary and reflects our business strategy to continuously strengthen our presence in automotive replacement parts logistics.”

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About Federal-Mogul

Federal-Mogul LLC is a leading global supplier of products and services to the world’smanufacturers and servicers of vehicles and equipment in the automotive, light, medium andheavy-duty commercial, marine, rail, aerospace, power generation and industrial markets.The company’s products and services enable improved fuel economy, reduced emissionsand enhanced vehicle safety.

Federal-Mogul operates two independent business divisions, each with a chief executiveofficer reporting to Federal-Mogul's Board of Directors.

Federal-Mogul Powertrain designs and manufactures original equipment powertraincomponents and systems protection products for automotive, heavy-duty, industrial andtransport applications.

Federal-Mogul Motorparts sells and distributes a broad portfolio of products through morethan 20 of the world’s most recognized brands in the global vehicle aftermarket, while alsoserving original equipment vehicle manufacturers with products including braking, wipersand a range of chassis components. The company’s aftermarket brands include ANCO®wipers; Beck/Arnley® premium OE quality parts and fluids; BERU®* ignition systems;Champion® lighting, spark plugs, wipers and filters; Interfil® filters; AE®, Fel-Pro®, FP Diesel®,Goetze®, Glyco®, National®, Nüral®, Payen®, Sealed Power® and Speed-Pro® engineproducts; MOOG® chassis components; and Abex®, Ferodo®, Jurid® and Wagner® brakeproducts and lighting.

Federal-Mogul was founded in Detroit in 1899 and maintains its worldwide headquarters inSouthfield, Michigan. The Company has nearly 53,000 employees in 24 countries. For moreinformation, please visit www.federalmogul.com.