Lear Borrows $800 million for Debts: Parts Maker Also Suspends Dividend
Lear Corp. announced Wednesday it had secured $800 million in loans, suspended its quarterly dividend and reached an agreement to transfer its European interior business to a joint venture with W.L. Ross & Co. LLC. The moves are designed to improve the financial health of the Southfield, MI-based auto supplier, which lost $1.4 billion last year. Lear Chairman and CEO Bob Rossiter has tried to allay concerns that his company is headed for bankruptcy, joining the likes of fellow auto suppliers Delphi Corp. and Collins & Aikman Corp.
Alex Sun Promoted to President of Mitchell International
Mitchell International announced the promotion of Alex Sun to the position of president. Prior to his promotion, Sun functioned as the executive vice president and CFO for Mitchell while also taking on a much broader role in the day-to-day operations of the company.
GM Plans to Cut 30,000 Jobs, Close Plants
General Motors Corp., confronting the biggest challenge in its history –- survival — swallowed a bitter pill Monday and announced a massive plan to shrink itself.
R.L. Polk & Co.’s Ask The Industry Wants to Know What are Busiest Times for Your Business?
This edition of ATI asks: For a variety of reasons, the late summer/early fall timeframe is among the busiest times for many companies in the aftermarket. Is this true for your company? To what do you attribute the extra workload? How does your company internally prepare for these times?
Delphi, Visteon Break with The Old Guard
The men running two of the auto industry’s largest and most troubled parts companies have one thing in common: both are relative outsiders to the corporate cultures they now inhabit.
Analysts Show Optimism For Visteon, Delphi Up
Even as Delphi Corp. threatens bankruptcy and rival Visteon Corp. prepares to shed 24 plants and thousands of jobs, a few Wall Street analysts have turned cautiously optimistic on the future for the auto-parts suppliers.
Visteon Scores Big Win with Honda
Visteon Corp. has landed a lucrative — and potentially more lucrative — contract to supply instrument panel modules to Honda Motor Co. in North America . Visteon, which was forced to seek a financial bailout from Ford Motor Co. this year, is moving deeper into business dealings with Honda, an automaker renowned for its stern scrutiny of suppliers.
GM Hits Billion-Dollar Pothole
General Motors Corp. reported its worst quarterly loss in 13 years Tuesday as sales of GM’s aging trucks slowed, response to its newer cars was tepid and health care costs became what GM called “a crisis.”
In Latest Blow, Dividend Looks Shaky at Delphi
The dramatic departure of Delphi’s CFO coupled with the news that the auto supplier will restate finances could signal a final blow to its already shaky quarterly dividend. Although the payoff to investors is small — Delphi has paid 7 cents a share since it was spun off from General Motors in 1999 — the mere act of paying dividends attracts investors who may not otherwise invest in the tumultuous automotive supply sector.
Struggling Detroit Woos Japan’s Carmakers
At many union halls in Michigan, signs on parking lots still warn that foreign-made cars “will be towed away at owner’s expense.” So why is Governor Jennifer Granholm of Michigan pushing so hard to close a sweetheart land deal with Toyota?