arvinmeritor ETSALE07

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Emissions Technologies Conference CallFebruary 2, 2007

Emissions Technologies Conference Call

Chip McClure, Chairman, CEO & President Rakesh Sachdev, Senior VP, Strategy and Corp. Development

Vernon Baker, Senior VP and General Counsel

February 2, 2007

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Forward-Looking StatementsThis presentation contains statements relating to future results of the company (including certain projections and business trends) that are “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements are typically identified by words or phrases such as “believe,” “expect,”“anticipate,” “estimate,” “should,” “are likely to be,” “will” and similar expressions. Actual results may differ materially from those projected as a result of certain risks and uncertainties, including but not limited to global economic and market cycles and conditions; the demand for commercial, specialty and light vehicles for which the company supplies products; risks inherent in operating abroad (including foreign currency exchange rates and potential disruption of production and supply due to terrorist attacks or acts of aggression); availability and cost of raw materials, including steel; OEM program delays; demand for and market acceptance of new and existing products; successful development of new products; reliance on major OEM customers; labor relations of the company, its suppliers and customers, including potential disruptions in supply of parts to our facilities or demand for our products due to work stoppages; the financial condition of the company’s suppliers and customers, including potential bankruptcies; possible adverse effects of any future suspension of normal trade credit terms by our suppliers; potential difficulties competing with companies that have avoided their existing contracts in bankruptcy and reorganization proceedings; successful integration of acquired or merged businesses; the ability to achieve the expected annual savings and synergies from past and future business combinations and the ability to achieve the expected benefits of restructuring actions; success and timing of potential divestitures; potential impairment of long-lived assets, including goodwill; competitive product and pricing pressures; the amount of the company’s debt; the ability of the company to continue to comply with covenants in its financing agreements; the ability of the company to access capital markets; credit ratings of the company’s debt; the outcome of existing and any future legal proceedings, including any litigation with respect to environmental or asbestos-related matters; rising costs of pension and other post-retirement benefits and possible changes in pension and other accounting rules; as well as other risks and uncertainties, including but not limited to those detailed herein and from time to time in other filings of the company with the SEC. These forward-looking statements are made only as of the date hereof, and the company undertakes no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise, except as otherwise required by law.

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Emissions Technologies Transaction Overview• Announcing today that we have reached a definitive

agreement to sell our Emissions Technologies business to One Equity Partners for cash and other consideration of $310 million

• The transaction is expected to close in the fiscal third quarter, pending standard regulatory approvals

• ArvinMeritor will focus its capital and management talent on executing transformational goals

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Narrowing Scope Enables Focused Investment

Chassis, Drivetrain and AperturesChassis, Drivetrain and Apertures

2004 2005 2006 2007 20084.2% 3.6% 3.4% 4.3% 4.3%

Emissions TechnologiesEmissions Technologies

LVA Filters & ExhaustLVA Filters & Exhaust

Roll CoaterRoll Coater

ER&D + Cap. Ex. as % of Sales

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Potential Uses of Proceeds

• Retire or fund selected long-term liabilities• Invest in organic growth and/or bolt-on

acquisitions in our focus areas- Asia- Aftermarket- Systems and controls technology for chassis,

drivetrain and apertures

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ArvinMeritor Before and After ET Divestiture

26

27,500

112

$8.9 – 9.1 billion

Before

20,000Employees

75Facilities

$5.9 – 6.1 billion2007 Sales

22Countries

AfterMeasure

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Customer Base Before ET Divestiture2006 Sales

Commercial Vehicle Customers Light Vehicle CustomersDaimlerChrysler

10%

General Motors9%

Volkswagen10%

Ford 7%

Asian Based OEMs 3%

BMW 2%Fiat 3%

Other LVS 9%

Other CVS15%

Fiat 2%

Asian Based OEMs 3%

Ford 1%Volkswagen 1%

General Motors 1%

PACCAR 2%

International 3%

Volvo 11%

DaimlerChrysler8%

47% Commercial

Vehicle

53% Light

Vehicle

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Customer Base After ET Divestiture2006 Sales

Commercial Vehicle Customers Light Vehicle CustomersDaimlerChrysler

8%

General Motors 3%

Volkswagen7%

Ford 3%

Asian BasedOEMs 4%

BMW 1%

Other LVS 7%

Other CVS22%

Fiat 2%

Asian Based OEMs 4%

Ford 1%Volkswagen 1%

General Motors 1%

PACCAR 2%

International5%

Volvo 17%DaimlerChrysler

12%

67% Commercial

Vehicle

33% Light

Vehicle

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Geographic/Customer Mix Before ET Divestiture2006 Sales

South America*

6%

Asia and Asian-based OEMs *

9%

North America47%

Europe and European-

based OEMs *38%

Consolidated Revenue

* Includes local operations of companies headquartered in North America

+ Non-Consolidated Joint Ventures

South America*

7%


16%

North America44%


based OEMs *33%

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South America*

8%


10%

North America51%


based OEMs *31%

Consolidated Revenue

* Includes local operations of companies headquartered in North America

+ Non-Consolidated Joint Ventures

South America*

10%


11%

North America51%


based OEMs *28%

Geographic/Customer Mix After ET Divestiture2006 Sales

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Top 10 Commercial Vehicle Platforms After ET Divestiture

W-Series, T-SeriesGM MD TrucksStralis, TrakkerIveco HD

Military VehiclesArmor HoldingsBusiness Class, Cargo, 360Freightliner/Sterling MD

VT, VN, Pinnacle, VisionMack/Volvo Class 8Premium, MagnumRenault Trucks HDCoronado, Century S/T, ColumbiaFreightliner Class 8FH, FH16Volvo Trucks HD

4000 Series, CF SeriesInternational MDProStar, 8000 Series, 9000 SeriesInternational Class 8

Key VehiclesPlatform

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Top 10 Light Vehicle Platforms After ET Divestiture

207Peugeot PF1

Focus, C-MAX, Volvo S40/V50Ford C1

RamDodge DR-DEMegane, ScenicRenault CSanta Fe, SonataHyundai NF/CM

Audi Q7VW 7LAccord, Odyssey, PilotHonda CYR2/UMTrailBlazerGMT 380/390

Polo, Ibiza, Audi A2, Skoda FabiaVW PQ24/25

Golf, Touran, Audi A1, Skoda OctaviaVW PQ34/35Key VehiclesPlatform

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Growth Strategy After ET Divestiture• Triple sales in Asia and with Asian OEMs within five

years- $1 billion added sales in China - $300 million added sales in India- Healthy mix of local OEMs and global OEMs

• Triple aftermarket sales• Generate compelling new products that create

exceptional value for customers• Increase systems, controls and electronics

capabilities

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Performance Plus Success Factors

Industry challenges Reason to change

Executive alignment Agents of change

Clear strategies Pathway to change

Fast-start actions Momentum to change

Strong balance sheet Resources to change

ET Divestiture Increases Momentumand Resources to Change

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Fiscal Year 2007 Outlook Continuing Operations Before Special Items

$ 100)$ 50)Free Cash Flow

$ 1.10)$ 1.00)Diluted Earnings Per Share

$ 78)$ 71)Income from Continuing Operations

20%18%Effective Tax Rate

$ (100)$ (90)Interest Expense

$ 320)$ 300)EBITDA

$ 6,100)$ 5,900)Sales

FY 2007Full Year Outlook (1)

-

-

-

-

-

-

-

(in $millions except tax rate and EPS)

(1) Earnings exclude gains or losses on divestitures, restructuring costs, and other special items; assumes ET transaction closes during fiscal Q3

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(1) Excluding gains or losses on divestitures, restructuring costs, and other special items; assumes ET transaction closes during fiscal Q3

$5,900 – $6,100

–

(2,900) – (3,100)

$8,900 – $9,100)

Sales ($million)

(0.25) – (0.30)Emissions Technologies Divestiture and Corporate Overhead/Tax Effect

0.10 – 0.15Use Proceeds to Lower LT Liabilities

$1.00 – $1.10FY 2007 Guidance Range

$1.15 – $1.25Previous Guidance

Estimated EPS (1)

FY 2007 Outlook vs. Prior Continuing Operations Before Special Items

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arvinmeritor ETSALE07

Economy & Finance

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