Dana Completes Sale of Flat Rubber Business

Oct 7, 1997

    TOLEDO, Ohio, Oct. 7 /PRNewswire/ -- Dana Corporation (NYSE: DCN) today
announced the closing of the sale of its flat rubber products business to
Coltec Industries, Inc. (NYSE: COT), of Charlotte, N.C.  The transaction,
first announced July 25, is another in a series of strategic actions that Dana
has taken to focus on its core businesses.
    The sale of Dana's Boston Weatherhead flat rubber products business, which
produces sheet rubber and conveyor belts, resulted in an after-tax gain to
Dana of approximately $8.7 million (8 cents per share), to be recognized in
the fourth quarter.
    Last year, Paragould's flat rubber products accounted for $35 million of
Dana's $7.7 billion in sales.
    The operation being sold is located in Paragould, Ark.  The facility will
be operated as part of Coltec's Garlock Sealing Technologies division.
    As part of the agreement, Coltec will purchase raw materials for the
Paragould facility from Boston Weatherhead's rubber mixing facility in
Newbern, Tenn.
    Dana will continue to manufacture the primary products of its Boston
Weatherhead Division, which are rubber hoses and fluid connectors.  The Boston
Weatherhead Division is part of Dana's Industrial Components Group.  The
Industrial Components Group is one of Dana Corporation's six strategic
business units and last year accounted for sales of $740 million.
    Dana Corporation is a global leader in the engineering, manufacture, and
distribution of products and systems for the automotive, engine, heavy truck,
off-highway, and industrial markets.  It also operates a leasing services
business.  Founded in 1904 and based in Toledo, Ohio, Dana employs more than
48,000 people in 30 countries.  It operates more than 40 research and
development centers worldwide.  The Internet address for Dana's home page is
    Coltec is a diversified manufacturing company serving primarily aerospace
and general industrial markets.  Its Garlock Sealing Technologies division is
based in Palmyra, N.Y.

SOURCE  Dana Corporation

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