Delphi Continues Portfolio Realignment
biz.yahoo.com
TROY, Mich., May 22 /PRNewswire/ -- Continuing to act on its pledge to realign its businesses portfolio, today Delphi Automotive Systems (NYSE: DPH - news) announced that it has exited three ventures with total non-consolidated sales of approximately $60 million. The divestitures include two minority interest businesses, located in North America and South America, which produce thermal products and wafer chips for automotive applications.
(Photo: newscom.com )
``We are fully committed to address operations that are not performing to expectations or have limited strategic value due to changing business priorities,'' said Delphi Chief Financial Officer Alan S. Dawes. ``These moves support Delphi's strong track record of completing portfolio management actions that enhance our profitability while allowing us to better utilize capital resources for acquisitions, emerging technologies and investment in core businesses.''
The two divestitures are:
Componentes Delfa, a minority joint venture with Fabrica de Aparotors de Aire Acondicionado in Venezuela, to supply thermal products for the Venezuelan automotive market; and,
Flip Chip Technologies, L.L.C., a minority joint venture with Kulicke & Soffa, Inc. in Phoenix, Ariz., to co-develop flip chips used in automotive engine electronics.
In addition, due to changing business objectives in the partnership and in response to economic and competitive factors, Delphi sold its share of stock in Delphi NSK Steering, a 50 percent joint venture with NSK, Ltd. of Japan, for the sale of halfshafts to automotive customers in Asia.
Proceeds from the divestitures were not disclosed. Since 1992 Delphi has sold or closed 80 plants and businesses with sales revenue of approximately $7 billion.
For more information about Delphi Automotive Systems, visit Delphi's Virtual Press Room at delphiauto.com . |
