AlliedSignal and Turbodyne to Jointly Develop Mass Production Capabilities for Dynacharger Turbochargers; AlliedSignal Receives Exclusive Manufacturing and Marketing Rights.

TORRANCE, Calif.--(BUSINESS WIRE)--May 12, 1999--

AlliedSignal Turbocharging Systems and Turbodyne Technologies Inc., Woodland Hills, Calif., Wednesday said that they will jointly develop and engineer electrically assisted turbochargers under the brand name Dynacharger(tm).

The two companies entered into licensing and development agreements that give AlliedSignal exclusive licensing rights for the manufacturing and marketing of any turbocharger products to be developed on a worldwide basis as a result of the joint activities. The turbocharger products are expected to be sold primarily to automobile, heavy-duty vehicle and engine manufacturers.

AlliedSignal will be supplied light metal castings, electric motors, generators and electronic controls by Turbodyne under sub-licensing for the products jointly developed and manufactured under the terms of these agreements.

The two companies have jointly cooperated in supplying AlliedSignal turbochargers equipped with specially modified Turbodyne electric motors and electronic control technology to potential customers for test and evaluation.

AlliedSignal Turbocharging Systems, a business unit of AlliedSignal Inc. (NYSE:ALD), is the world's largest manufacturer of Garrett(r) turbochargers, superchargers and charge-air coolers for diesel and gasoline-driven passenger cars, commercial vehicles and heavy-duty trucks.

AlliedSignal Inc. is an advanced technology and manufacturing company serving customers worldwide with aerospace and automotive products, chemicals, fibers, plastics and advanced materials. s; and one of the 100 best companies to work foess forecasts.