Tower Automotive Retirees Will See Health Premiums Soar
About 1,200 retirees of Milwaukee’s Tower Automotive plant who opt to keep their current medical coverage will see their monthly health insurance premiums quadruple, or more. Premiums for some of the retirees have increased to more than $1,000 a month. Company officials say skyrocketing healthcare costs have given them no choice but to raise the premiums.
Federal-Mogul Reports Loss
Federal-Mogul lost $120.7 million in the final three months of 2003, 7 percent more than it lost in the same quarter of 2002. For the year, the Southfield-based automotive supplier, which makes such products as Champion spark plugs, Anco wipers and Wagner lights, lost $189.5 million. That’s far below 2002’s net loss of $1.6 billion, which included a $1.4-billion accounting charge.
Genuine Parts Co. Reports 2003 Results
Completing its 76th year in operation, Genuine Parts Co. (GPC) has reported sales and earnings for the year, which ended December 31, 2003. Sales in 2003 were $8.4 billion, up 2.3 percent compared to the previous year. Net income for the year, before the cumulative effect of changes in accounting principles related to cash consideration from vendors and goodwill, was $354 million, compared to $368 million, for the same period in the prior year, a decrease of 4 percent.
Advance Auto Parts Reports Record Fourth Quarter and Fiscal 2003 Results
Advance Auto Parts has reported record revenue and earnings for its fourth quarter and fiscal year, which ended January 3. Fiscal 2003 included 53 weeks of operations compared to 52 weeks in 2002, with the additional week falling in the fourth quarter of 2003. Sales increased 19.2 percent in the fourth quarter to $821.3 million from $689.2 million.
Precision Auto Care Reports Second Quarter Results
Precision Auto Care reported a profit of approximately $266,000 or $0.01 per share for the fiscal quarter ending December 31, 2003, compared with a profit of $6.6 million or $0.44 per share for the comparable prior year quarter.
Radiator Repair Chain Takes Pollution Prevention Seriously
Radiator repair work — with antifreeze, lead-based solder and other hazardous materials — seems anything but environmentally friendly. But Mac’s Radiator, a Portland, Ore.-based chain of repair shops with a Eugene outlet, is part of an industry effort to change that perception. The Mac’s shop in west Eugene is the first business in the city to be certified under the Eco-Logical Business Program, a government-run pollution prevention project for small businesses.
Cooper Tire Puts on its Game Face
The official tire of six NCAA conferences, Cooper Tire & Rubber is taking an experimental approach to building regional brand awareness through a series of pre-game and on-court interactive promotions at upcoming NCAA basketball games. “We’re aiming to activate our corporate partnerships by pushing our involvement past simple signage, and enhancing our consumer’s sports experience,” said Pat Brown, vice president of advertising and communications at Cooper Tire.
CBS Segment Featuring ASA’s Ron Pyle Sparks Criticism from Insurers, Repairers
The Automotive Service Association’s (ASA’s) Chief Staff Executive Ron Pyle was recently featured in two CBS programs that addressed the issue of insurer-owned body shops. A number of insurers and repairers responded negatively to the segment, including the National Auto Body Council (NABC), which sent a stern letter to CBS News stating that the segment didn’t live up to its sensationalized billing, when Dan Rather told the viewing audience to stay tuned to see how consumers are possibly being ripped off by collision repair shops.
Toyo to Build U.S. Tire Plant
Toyo Tire & Rubber Co. has announced it will build a new manufacturing plant in the U.S. for the production of passenger car and light truck tires. The new plant will be located in the eastern-half of the U.S., with start-up scheduled for early 2006. Toyo said it will invest $150 million in the facility, which is expected to produce approximately two million passenger car and light truck tires annually.
R&B Reports Sales and Earnings for the Fourth Quarter and Full Year
Automotive replacement parts supplier R&B has announced financial results for the fourth quarter and year, which ended December 27, 2003. For the fourth quarter, sales increased 1 percent to $55.6 million from $55.1 million in the same period last year. Net income in the fourth quarter of 2003 was $3.8 million compared to net income of $3.5 million in the same period in 2002. Diluted earnings per share in the fourth quarter increased 8 percent to $0.42 from $0.39 in the same period last year.