ANN ARBOR, Mich., June 3 /PRNewswire/ -- As the final elements in a
three-year global restructuring program, Affinia Group Inc. has announced
plans for closing three manufacturing facilities in the U.S. and Canada.
The affected facilities in Dallas, Texas, Litchfield, Illinois, and
Milton, Ontario, employ approximately 400 people involved in the manufacture
of brake components. Dallas and Milton are expected to close by the end of the
first quarter of 2009 with the Litchfield closing coming shortly thereafter.
Affinia will offer transitional assistance to affected workers.
"Affinia people in each location are extremely talented and dedicated, and
these closings in no way reflect upon their performance," said John R.
Washbish, President of Affinia's Under Vehicle Group. "Our decision to phase
out manufacturing in Dallas, Litchfield and Milton was unavoidable, reflecting
fundamental changes that are taking place in the markets we serve around the
world. We deeply regret the impact on the lives of our people and their
families and will provide assistance where possible during these challenging
times."
Affinia Group, a global leader in the on- and off-highway replacement
products and service industry, began a strategic restructuring program in 2005
in response to the globalization of aftermarket manufacturing and sourcing.
"For Affinia to continue competing successfully in the global economy, we
have focused on lowering our costs while championing world-class quality,"
Washbish said. "Achieving these goals has required that we realign our global
manufacturing and sourcing approach as reflected in our comprehensive
restructuring program."
Affinia Group Inc. is a global leader in the on- and off-highway
replacement products and service industry. In North America the Affinia family
of brands includes WIX(R) filters, Raybestos(R), AIMCO(R) and BrakePro(R)
brake products, and McQuay-Norris(R) and Spicer(R) Chassis parts. South
American and European brands include Nakata(R), Filtron(R), Urba(R) and
Quinton Hazell(R). For more information, visit www.affiniagroup.com
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
This report includes "forward-looking statements" within the meaning of
Section 27A of the Securities Act of 1933, as amended (the "Securities Act")
and Section 21E of the Securities Exchange Act of 1934, as amended (the
"Exchange Act"). These forward-looking statements may include comments
concerning our plans, objectives, goals, strategies, future events, future
revenue or performance, capital expenditures, financing needs, plans or
intentions relating to acquisitions, business trends and other information
that is not historical. When used in this report, the words "estimates,"
"expects," "anticipates," "projects," "plans," "intends," "believes,"
"forecasts," or future or conditional verbs, such as "will," "should," "could"
or "may," and variations of such words or similar expressions are intended to
identify forward-looking statements. All forward-looking statements,
including, without limitation, management's examination of historical
operating trends and data are based upon our current expectations and various
assumptions. Our expectations, beliefs and projections are expressed in good
faith and we believe there is a reasonable basis for them. However, there is
no assurance that these expectations, beliefs and projections will be
achieved. With respect to all forward-looking statements, we claim the
protection of the safe harbor for forward-looking statements contained in the
Private Securities Litigation Reform Act of 1995.
There are a number of risks and uncertainties that could cause our actual
results to differ materially from the forward-looking statements contained in
this report. Such risks, uncertainties and other important factors include,
among others: our substantial leverage; limitations on flexibility in
operating our business contained in our debt agreements; pricing and import
pressures; the shift in demand from premium to economy products; our
dependence on our largest customers; changing distribution channels;
increasing costs for manufactured components, raw materials, crude oil and
energy prices; our ability to achieve cost savings from our restructuring;
increased costs in imported products from China and other low cost sources;
the consolidation of distributors; risks associated with our non-U.S.
operations; product liability and customer warranty and recall claims; changes
to environmental and automotive safety regulations; changes to anti-dumping
duty rates; risk of impairment to intangibles and goodwill; risk of successful
refinancing if required; non-performance by, or insolvency of, our suppliers
or our customers; work stoppages or similar difficulties could significantly
disrupt our operations, and other labor disputes; challenges to our
intellectual property portfolio; and our exposure to a recession.
Additionally, there may be other factors that could cause our actual results
to differ materially from the forward-looking statements.
SOURCE Affinia Group Inc.
