Canadian NAO Report Refutes Union Allegations Regarding Mexican Facility of Dana Corporation

Dec 14, 1998

    TOLEDO, Ohio, Dec. 14 /PRNewswire/ -- Dana Corporation (NYSE: DCN)
announced today that a just-released Canadian National Administrative Office
(NAO) report on free association confirms the company's conclusions that the
management of its recently-acquired Itapsa, Mexico, plant did not engage in a
pattern of improper conduct.
    The report further noted that a September, 1997 election campaign at the
Itapsa plant of Echlin, Inc. had been hotly contested between two competing
unions and that disorderly behavior was attributable to both unions.  Dana is
pleased that the allegations of the unions toward Itapsa's management were not
    Dana assisted the NAO in its very thorough, complete, and exhaustive
review of the matters surrounding the elections.  Dana did not acquire Echlin,
Inc., until July, 1998 and was thus not able to participate in the U.S. NAO
process.  After the acquisition, Dana immediately reviewed and investigated
the allegations of the union submitters of the petition related to both free
association and health and safety.
    It is Dana's complete expectation that the allegations of the unions
concerning health and safety conditions at the Itapsa plant will also be
soundly rejected and that the forthcoming report of the Canadian NAO on that
aspect of the petition will confirm Dana's conclusion that Itapsa is a safe
place to work.
    Dana acknowledges that the Canadian NAO report expressed concerns about
certain aspects of Mexican law and practice, but believes that these matters
are properly handled by the respective governments.
    It is Dana's intention to continue its policy of providing full and
complete cooperation to the Canadian NAO as it completes its most important
    One of the world's largest independent suppliers to vehicular, off-
highway, and industrial manufacturers and their related aftermarkets, Dana
Corporation produces components and systems used on more than 95 percent of
the world's 670 million motor vehicles.  Founded in 1904 and based in Toledo,
Ohio, the company operates 270 major facilities in 33 countries and employs
more than 79,000 people.  The company had pro forma sales of $11.9 billion in
1997.  Dana's Internet address is

SOURCE Dana Corporation

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