Dana Corporation dedicates new axle assembly facility

Como, Italy, May 22, 2003 -- Dana Corporation today dedicated a new, state-of-the-art agricultural axle assembly facility in Como, Italy. The new facility replaces an existing operation in Como and extends a half-century presence in the city.

(Logo: http://www.newscom.com/cgi-bin/prnh/19990903/DANA )

"The new Como facility has increased capacity, while providing greater flexibility and the most advanced assembly processes available today," said Nick Cole, president of the Heavy Vehicle Technologies and Systems Group. "It has been specifically designed to complement Dana's manufacturing plants in Arco and Rovereto, Italy -- as well as other Dana operations worldwide."

Dana Chairman and CEO Joe Magliochetti said, "Not only does this new facility feature the latest technologies, but it also enables us to better leverage Dana's other axle manufacturing and assembly operations to achieve greater utilisation and provide enhanced customer service to this important market."

The facility, which employs approximately 145 people, is dedicated to the assembly of axles and transmissions for agricultural applications, primarily tractors and harvesting vehicles. Gearing, shafts, steel components, and heat treatments are sourced from Dana's other facilities and other strategic suppliers.

The 16,700-square-meter (55,110-square-foot) plant features three assembly lines with automatic handling of monolithic and two-piece axles. Two fixed stations are designed for assembly of low-volume medium and large axles, and one station is dedicated to prototype assembly. The plant also features a state-of-the-art robotised paint shop that utilises water-based electrostatic paint. Capacity is estimated at approximately 60,000 units per year.

The Como facility incorporates advanced manufacturing processes and practices, including an ERP/JIT management system, a strategic materials management process, and capabilities ranging from order entry and engineering to quality assurance and delivery. In addition, all assembly, control, and final inspection processes are fully integrated.

Operations were transferred from the former Como facility in less than nine months. The new plant continues a tradition of manufacturing agricultural products that stems back more than 50 years, when Landini originally established the Como plant to produce small tractors in 1949. Since that time, the facility was also operated by Massey Ferguson for the manufacture of Perkins engines, and the GKN Group for the production of hydraulic lift products. In 1995, GKN Comaxle S.p.A. was acquired by Dana Italia S.p.A.

Off-Highway Systems Overview

Off-Highway Systems is part of Heavy Vehicle Technologies and Systems Group, a business unit of Dana Corporation. Off-Highway Systems is composed of division facilities and research and development operations in Belgium, Brazil, China, India, Italy, the United Kingdom, and the United States. The unit designs, manufactures, assembles, and markets axles and transaxles; driveshafts and end-fittings; transmissions; torque converters; electronic controls; and brakes. Off-Highway Systems also provides replacement parts and service.

Off-Highway Systems serves 30 countries and more than 1,000 vehicle assembly and manufacturing facilities. In addition, through Heavy Vehicle Technologies and Systems Service, it has two global distribution centers and more than 30 authorised service center locations serving more than 100 countries. Construction, agriculture, specialty chassis, forestry, underground mining, material handling, outdoor power, and leisure and utility vehicles are just some of the markets that demand the quality found in Spicer(R) off-highway systems and products.

Dana Corporation is a global leader in the design, engineering, and manufacture of value-added products and systems for automotive, commercial, and off-highway vehicle manufacturers, and their aftermarkets. The company employs more than 60,000 people worldwide. Founded in 1904 and based in Toledo, Ohio, Dana operates hundreds of technology, manufacturing, and customer service facilities in 30 countries. The company reported sales of US$9.5 billion in 2002.

Jeff Cole of Dana Corporation, +1-419-535-4704, or jeff.cole@dana.com; Photo: http://www.newscom.com/cgi-bin/prnh/19990903/DANA; AP Archive: http://photoarchive.ap.org/; PRN Photo Desk, +1 888-776-6555 or +1 212-782-2840; Company News On-Call: http://www.prnewswire.com/gh/cnoc/comp/226839.html