Federal-Mogul Completes Sale of South African Heat Transfer Business
22 April 1999
Federal-Mogul Completes Sale of South African Heat Transfer BusinessSOUTHFIELD, Mich., April 21 -- Federal-Mogul Corporation's Chairman and Chief Executive Officer Dick Snell announced today the sale of the company's South African heat transfer business to Behr GMBH & Co., DM 3 billion German manufacturer of engine cooling systems and air conditioning products headquartered in Stuttgart, Germany. The Federal-Mogul heat transfer business manufactures automotive heating and cooling systems and components for South Africa and certain export markets. "The heat transfer operation is a very good business that strategically fits better with a global manufacturer of such systems like Behr," said Snell. "The sale allows us to focus on the core products of gaskets, pistons and bearings in South Africa as an integral part of our global strategy. It also provides the funding for our December 1998 purchase of the 49% minority holding in our South African group, which going forward will have annual sales of approximately $100 million." The heat transfer business had sales in 1998 of approximately $56 million, manufactures in four South African locations and employs approximately 1,200 people. Terms of the acquisition were not disclosed. Headquartered in Southfield, Michigan, Federal-Mogul is an automotive parts manufacturer providing innovative solutions and systems to global customers in the automotive, light truck, heavy-duty, and farm and industrial markets. The company was founded in 1899. Visit the company's web site at http://www.federal-mogul.com for more information. Federal-Mogul's press releases are available by fax through Company News On-Call, call 800-758-5804, ext. 306225.