Dana Reports $298M 4Q Loss

TOLEDO, Ohio (AP) -- Dana Corp. on Wednesday reported a wider $298 million loss for the fourth quarter as the auto parts maker continues to implement a restructuring plan that includes the elimination of 11,000 jobs.

Dana said it did not benefit from strong auto sales in the fourth quarter because automakers relied on existing inventories and continued to cut production, which hurt Dana's sales. It also was hurt by more weakness in heavy truck production.

The loss amounted to $2.01 per share for the October-December period, and compares with a loss of $84 million, or 53 cents a share, last year.

Excluding one-time charges, the company lost $14 million, or 9 cents a share. The consensus forecast of analysts surveyed by Thomson Financial/First Call was for a loss of 6 cents per share.

Its sales fell 11 percent to $2.4 billion from $2.7 billion.

Dana said in October that it would cut 15 percent of its work force and close or consolidate more than 30 plants because of slowing demand for its parts. The reductions are on top of about 10,000 job cuts made within the two years before the announcement.

``Given the most recent trends and the general economic outlook, we continue to be cautious about the prospects for recovery in our markets in the near term,'' said Joe Magliochetti, Dana's chairman and chief executive.

For the year, the company also reported a loss of $298 million, or $2.01 per share, on sales of $10.3 billion. In 2000, the company earned $354 million, $2.18 a share, on sales of $12.3 billion.

Dana's stock closed Wednesday at $16.15, up 5 cents on the New York Stock Exchange.

Dana operates 300 plants and employs 70,000 people in 34 countries.