CLAYTON AND DUBILIER NEW JOINT UNIT TO BUY FIRM

  Clayton and Dubilier Inc and senior
  management of a unit of Borg-Warner Corp &lt;BOR> said it will
  form a new company to buy Borg-Warner's industrial products
  group for about 240 mln dlrs.
      Borg-Warner industrial products has sales of about 300 mln
  dlrs from three divisions, which provide advanced technology
  fluid transfer and control equipment, systems and
  services worldwide, Clayton said.
      The new company will have 3,000 employees and be
  headquartered in Long Beach, Calif., the company said.
      Peter Valli, vice president of Borg-Warner Corp and
  president of its industrial products division, will become
  president and chief executive officer of the new company,
  according to Clayton.
      Clayton, a private investment firm, said this was the third
  mangement buyout of a divestiture completed by them since
  December 1986.
  

