Dana Corporation to close Michigan plant as part of outsourcing deal
The news, which will result in the loss of 240 jobs, comes just days after the company announced it was closing a North Carolina plant and cutting jobs from its operations in Belgium. Production is expected to end in the third quarter of 2005. This action will result in an after-tax charge of approximately $12 million, of which $11 million will be recorded in the fourth quarter of 2004. "This decision was necessary due to the excess capacity for grey iron piston ring castings," said Mike Laisure, president of Dana's Automotive Systems Group. "Our foundry is severely underutilized and no longer a viable operation. This action will strengthen our overall competitiveness."