Dana sells Engine Management Aftermarket operations

Dana Corporation announced today that it has completed the sale of a significant portion of the Engine Management operations of its Automotive Aftermarket Group to Standard Motor Products, a manufacturer and distributor of automotive replacement parts. Proceeds from the transaction totaled $121 million. Of this total, 75% (or approximately $91 million) was cash, with the balance split evenly between debt and equity. The final price is subject to normal post-closing adjustments based on the net book value of the assets and liabilities at the close of business on June 30, 2003. Dana recorded substantially all of the expected charges associated with this transaction in the fourth quarter of 2002 concurrent with its decision to sell the business.The sale included nine U.S. operations employing approximately 1,900 people. Combined 2002 sales at these operations were approximately $290 million. The facilities involved in the transaction are located in Branford and Guilford, Conn.; Franklin Park, Ill.; Argos and Mishawaka, Ind.; Independence, Kan. (two facilities); Northvale, N.J.; and Nashville, Tenn.The primary products of these operations are electronic control modules, wire and cable, fuel injectors, oxygen sensors, and voltage regulators."This transaction speaks to our emphasis on core businesses and those technologies that are central to Dana's growth strategy," said Dana Chairman and CEO Joe Magliochetti. "Although not core to Dana, we believe these Engine Management operations and the people associated with them will benefit from the expertise of Standard Motor Products, which is more focused on this segment of the aftermarket."

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