Dana Completes Sale of Clutch Business to Eaton
Sep 2, 1997
TOLEDO, Ohio, Sept. 2 /PRNewswire/ -- Dana Corporation (NYSE: DCN) today announced the closing of the sale of its vehicular clutch business to Eaton Corporation (NYSE: ETN). The transaction, first announced July 9, is another in a series of strategic moves that Dana has taken to focus on its core businesses. The sale of Dana's Spicer Clutch business, a manufacturer of new and rebuilt clutches for original equipment manufacturers and distribution markets, resulted in an after-tax gain to Dana of approximately $70 million (67 cents per share), to be recognized in the third quarter. The operations sold are located in the United States, Australia, Brazil, Holland, and England. Under an agreement with Eaton, Dana will continue to market and supply independent distribution customers with new and remanufactured clutches. Another pending transaction with Eaton -- Dana's purchase of Eaton's global axle and brake business -- is undergoing due diligence and customary regulatory review. Headquartered in Cleveland, Eaton Corporation is a manufacturer of products for the industrial, vehicular, construction, commercial, and aerospace markets. Dana Corporation is a global leader in the engineering, manufacture, and distribution of products and systems for the vehicular, industrial, and off- highway markets. Its core businesses are axles, driveshafts, structural components (frames), sealing products, filtration products, engine products, industrial products, and leasing services. Dana's leasing operation was a recipient of the 1996 Malcolm Baldrige National Quality Award. Founded in 1904 and based in Toledo, Ohio, Dana operates facilities in 30 countries and employs more than 48,000 people. Its 1996 sales were $7.7 billion. The Internet address for Dana's home page is www.dana.com. SOURCE Dana Corporation CONTACT: Gary Corrigan of Dana Corporation, 419-535-4813