BUSINESSWEEK ONLINE : MARCH 22, 1999 ISSUE
READERS REPORT

Even Without Delphi, GM's Sales Will Still Be Huge


While ''In fourth gear, Ford heads for first place'' (News: Analysis & Commentary, Feb. 15) proved thought provoking, one statement warrants correction. Keith Naughton wrote that General Motors Corp. will ''lop off $28.5 billion in annual sales when it divests its Delphi parts unit this year.''

What he overlooks is that only 20% of Delphi's annual sales are to non-GM customers; thus, the actual net loss to GM's consolidated revenue in 2000 will be closer to $5 billion to $6 billion, not $30 billion. I'm sure GM views Ford Motor Co.'s aggressive growth strategies seriously, but the impact of Delphi's separation will be minimal.

Chris Witty
New York


_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _




INTERACT
E-Mail to Business Week Online

 
Copyright 1999, Bloomberg L.P.
Terms of Use   Privacy Policy