ArvinMeritor, AAC's memo of understanding

ArvinMeritor Inc has signed a memorandum of understanding with Axle Alliance Co (AAC), a subsidiary of DaimlerChrysler, headquartered in Detroit MI. Under terms of the proposed long-term agreement, ArvinMeritor would become the turnkey supplier in providing heavy-duty tandem rear drive axles to AAC, ultimately for Freightliner's North American Class 8 truck assembly operations.

Implementation of this memorandum is subject to the execution of a definitive agreement.

With this memorandum of understanding, ArvinMeritor will partner with AAC on design, development, and assembly of heavy-duty axles from ArvinMeritor facilities in York SC, Asheville NC, and Monterrey, Mexico.