Dana Corporation Announces Plans to Sell Light-Duty Cylinder Liner Business

    TOLEDO, Ohio, Aug. 9 /PRNewswire-FirstCall/ -- Dana Corporation
(NYSE: DCN) announced today that it has entered into a definitive agreement
with Grupo Condumex, S.A. de C.V. ("Condumex"); Promotora de Industrias
Mecanicas, S.A. de C.V. ("Promec"); and its subsidiary, Camisa, S.A. de C.V.
("Camisa") for the sale of Dana's light-duty cylinder liner business to
Camisa.  Dana holds a minority stake in Promec, a Mexican subsidiary of
Condumex.
    (Photo:  http://www.newscom.com/cgi-bin/prnh/19990903/DANA )
    The transaction is subject to applicable regulatory approvals.
    Upon completion of the transaction, Dana will close its Perfect Circle
liner machining plant in Richmond, Ind., as previously announced, and will
discontinue liner casting and machining at its Richmond, Ind., and Muskegon,
Mich., foundry operations.  In addition, the Perfect Circle Hastings, Neb.,
piston ring plant will be closed and its manufacturing assets will be re-
deployed to other global Dana facilities.
    Mike Laisure, president of Dana's Engine & Fluid Management Group, said
the decision to discontinue the manufacture of light-duty liners is consistent
with Dana's broader efforts to divest assets that are underperforming or non-
strategic. "Although we recognize that this is a difficult decision, it is
nonetheless a vital step toward enhancing Dana's competitive stance,"
Mr. Laisure said. "By helping to reduce fixed investment and improve asset
utilization, these actions will serve us well in the future."
    Dana Corporation is one of the world's largest suppliers of components,
modules, and complete systems to global vehicle manufacturers and their
related aftermarkets.  Founded in 1904 and based in Toledo, Ohio, the company
operates some 300 major facilities in 34 countries and employs approximately
70,000 people.  The company reported sales of $10.3 billion in 2001.  Dana's
Internet address is http://www.dana.com .

SOURCE Dana Corporation

Web Site: http://www.dana.com

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