Dana Brazilian Operation Wins Contract for Dodge Dakota Rolling Module

Dec 3, 1996

    TOLEDO, Ohio, Dec. 3 /PRNewswire/ -- In a first for the global vehicle
manufacturing industry, Dana Industrias Ltda., an operation of Dana
Corporation (NYSE: DCN), will assemble the rolling chassis for Dodge Dakota
pickup trucks to be built in Brazil, beginning in 1998.
    "This is the first time we've assembled a complete rolling chassis for a
light truck," said Mike Laisure, group vice president of Dana's Spicer Modular
Systems Group.  "In fact, it is the first time that any supplier in the world
has provided this kind of system for any light truck."
    Providing an entire rolling chassis will go beyond the traditional
components or systems supplied to vehicle manufacturers by suppliers, Laisure
said.  Suppliers typically provide individual parts or subassemblies for a
vehicle.  For Dakotas produced in Brazil, Dana will provide the entire
chassis, including the frame, driveshaft, axles, brakes, suspension components
and wheels.
    Dana currently supplies heavy-duty truck chassis to Mack Trucks, Inc. in
the United States.  Dana delivers about 500 of the large truck chassis
assemblies weekly in lineset order.  By opting for the modular system, Mack
was able to reduce the number of chassis component suppliers from 500 to
one - Dana.
    Job one for the Brazilian version of the Dakota is planned for spring
1998.  The exact location of the Dana operation has not yet been determined,
but it is expected to be near the Chrysler plant in the southern state of
    "This will be an ideal opportunity for Dana to demonstrate its abilities
to build modular systems for light trucks, which are becoming popular around
the world," said Chedo Eterovic, president of Dana South America.  "Vehicle
manufacturers are expanding their presence in South America.  As they build
new plants, these manufacturers are developing innovative relationships with
suppliers and new ways to manage the supply chain."
    The modular system approach to vehicle assembly will become even more
common around the world, Dana Chairman Southwood J. Morcott predicted.  "We
see this as the wave of the future," he said.  "More and more, vehicle
manufacturers are assigning increasing responsibility to their global
suppliers.  Dana is improving and increasing its engineering capabilities to
meet those needs."
    Dana Corporation is a global leader in the engineering, manufacturing and
distribution of products and systems for the vehicular, industrial and mobile
off-highway markets.  Founded in 1904 and based in Toledo, Ohio, Dana operates
facilities in 29 countries with 45,000 people.  Its 1995 sales were
$7.6 billion.  Named in 1995 by Financial World magazine as one of the "Best
100 Growth Companies," Dana is noted for its style of management and its
commitment to innovation.  It has 38 product research and development centers
worldwide.   The internet address for Dana's home page is http://www.dana.com.

SOURCE  Dana Corporation

CONTACT: Gary Corrigan, Director-Corporate Communications, of Dana
Corporation, 419-535-4813