Delphi Wins Compressor Business With Volkswagen Group

Clutchless Compact Variable Compressor Saves Space and Energy

TROY, Mich., Oct. 24 /PRNewswire/ -- Delphi Corp. has been chosen to supply its latest generation Compact Variable Compressor (CVC compressor) to Volkswagen and Audi, starting in 2007. Details of the contracts remain confidential and are not available at this time.

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Compressors are commonly referred to as the heart of a vehicle's air conditioning system. Delphi's CVC compressors are based on a swash plate simple harmonic motion mechanism and come in a wide range of displacement offerings.

Delphi's latest generation CVC compressor features an energy-saving six piston continuously variable mechanism and is clutchless, allowing for significant weight reduction and better fuel efficiency. External electronic control of the compressor capacity allows for optimum integration with vehicle powertrains and more fuel-efficient air conditioning load management.

"We're proud to support Volkswagen and Audi and are eager to supply them with a state-of-the-art product," Steven Kiefer, managing director of European operations, Delphi Thermal & Interior, said. "Delphi's clutchless CVC compressor helps deliver maximum passenger comfort with quiet operation, a key selling point for consumers. It also improves fuel economy which translates into bottom-line savings for drivers at the pump."

With six compressor manufacturing facilities worldwide, Delphi supplies both fixed and variable displacement compressors to automakers in North America, Asia, Europe, South America and Australia. In addition to components, Delphi engineers fully integrated climate control and powertrain cooling systems for its customers.

At Delphi, we help make cars safer, cleaner, more efficient and fun to drive. For more information about Delphi Corporation, visit Delphi's media room at .


This press release as well as other statements made by Delphi may contain forward-looking statements within the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, that reflect, when made, the Company's current views with respect to current events and financial performance. Such forward-looking statements are and will be, as the case may be, subject to many risks, uncertainties and factors relating to the Company's operations and business environment which may cause the actual results of the Company to be materially different from any future results, express or implied, by such forward-looking statements. Factors that could cause actual results to differ materially from these forward-looking statements include, but are not limited to, the following: the ability of the Company to continue as a going concern; the ability of the Company to operate pursuant to the terms of the DIP facility; the Company's ability to obtain court approval with respect to motions in the chapter 11 proceeding prosecuted by it from time to time; the ability of the Company to develop, prosecute, confirm and consummate one or more plans of reorganization with respect to the chapter 11 cases; risks associated with third parties seeking and obtaining court approval to terminate or shorten the exclusivity period for the Company to propose and confirm one or more plans of reorganization, for the appointment of a chapter 11 trustee or to convert the cases to chapter 7 cases; the ability of the Company to obtain and maintain normal terms with vendors and service providers; the Company's ability to maintain contracts that are critical to its operations; the potential adverse impact of the chapter 11 cases on the Company's liquidity or results of operations; the ability of the Company to fund and execute its business plan; the ability of the Company to attract, motivate and/or retain key executives and associates; and the ability of the Company to attract and retain customers. Other risk factors are listed from time to time in the Company's SEC reports, including, but not limited to the annual report on Form 10-K for the year ended December 31, 2005 and its most recent quarterly report on Form 10-Q and current reports on Form 8-K. Delphi disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Similarly, these and other factors, including the terms of any reorganization plan ultimately confirmed, can affect the value of the Company's various pre-petition liabilities, common stock and/or other equity securities. No assurance can be given as to what values, if any, will be ascribed in the bankruptcy proceedings to each of these constituencies. Accordingly, the Company urges that the appropriate caution be exercised with respect to existing and future investments in any of these liabilities and/or securities.

CONTACT: Barb Barkley of Delphi Corporation, +1-716-439-2594,
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