Dana Sells Gresen Hydraulic Operations
Feb 3, 2000
TOLEDO, Ohio, Feb. 3 /PRNewswire/ -- Dana Corporation (NYSE: DCN) today announced it has completed the sale of its worldwide Gresen Hydraulic operations to the Parker Hannifin Corporation (NYSE: PH), a Cleveland-based manufacturer of motion and control technologies. Terms of the sale were not disclosed. (Photo: http://www.newscom.com/cgi-bin/prnh/19990903/DANA ) Gresen manufactures a wide range of hydraulic pumps, motors, cylinders, control valves, filters, and electronic controls for on- and off-highway vehicles. The business had sales of approximately $128 million in 1999 and employs nearly 1,000 people at facilities in Greenville, S.C.; Minneapolis; Sarasota, Fla.; and Cachoeirinha, R.S., Brazil. "This divestiture reinforces Dana's on-going commitment to increase shareholder value by further focusing on our core products," said Joe Magliochetti, Dana president and CEO. "This move enables us to better position Dana strategically for the opportunities and challenges ahead. It also allows us to proceed more aggressively with our share repurchase program." Southwood J. Morcott, Dana's chairman said, "Gresen is a solid business, with great products and people. This business fits well with Parker Hannifin and gives our people more opportunities for growth with a company where they will be core. This transaction also allows Dana to focus on growing its core businesses." The sale is consistent with Dana's previously announced Five-Point Plan, which is a tactical link to the company's overall strategic plan. The Five- Point Plan provides elements for continued growth and increased profitability. The plan includes the following five tactics: * Grow while focusing on returns and maintaining financial discipline; * Seek strategic, bolt-on acquisitions at reasonable valuations; * Divest non-strategic and non-performing operations; * Repurchase stock as the company generates cash; and * Complete integration efforts and realize synergy savings. Parker Hannifin is one of the world's largest manufacturers of motion and control technologies. The company, which reported fiscal year 1998 sales of nearly $5 billion, employs some 40,000 people in 39 countries. Dana Corporation is one of the world's largest independent suppliers to vehicle manufacturers and their related aftermarkets. Founded in 1904, and based in Toledo, Ohio, the company operates some 330 major facilities in 35 countries and employs more than 84,000 people. The company reported sales of $13.2 billion in 1999. Dana's Internet address is http://www.dana.com .
SOURCE Dana Corporation
Web Site: http://www.dana.com
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