In order to improve the efficiency of Mahle Group's business operations in China, Mahle Bearing (Yingkou) Co., Ltd. (hereinafter abbreviated as “MBY”) will be incorporated into Mahle Engine Components (Yingkou) Co., Ltd. (hereinafter referred to as “MBY”). "MECY").

The board of directors of both parties unanimously passed the resolution on May 30, 2008 and formally completed the merger on January 5, 2009. After the merger is completed, MECY will take over all MBY employees and assume all of MBY's claims and liabilities.

Malham Bearings (Yingkou) Co., Ltd. is a wholly-owned company invested by German Mahler Limited (MAHLE) and Mahler Technology Investment (China) Co., Ltd. (MTC) in Yingkou City, Liaoning Province.

The company began operations in November 2004. It mainly develops, manufactures and provides after-sales services for bearing bushes, bushings and engine parts. The major products are FAW Dachai, Dongfeng Chaochai, Shenyang Aerospace Mitsubishi, Yuchai, Yangchai, and Harbin Dongan.

After the merger of MBY into MECY, the scope of MECY's operations will be changed to include production, sales and research and development of different types and specifications of cast and forged blanks for automobiles and motorcycles, pistons, bearings and shafts for gasoline engines and diesel engines of different types and specifications. Kits and other engine-related components, and provide after-sales maintenance services for related products.

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