Federal-Mogul 4th-quarter loss narrows
SOUTHFIELD, Mich. (AP) — Auto parts supplier Federal-Mogul's fourth-quarter loss narrowed as it dealt with ongoing softness in Europe.
The company also said Wednesday that it plans more restructuring efforts that may include closing or downsizing manufacturing plants, mostly in Western Europe.
Federal-Mogul said it will start the restructuring this year and continue through 2015. It will shift capacity and equipment to existing lower-cost sites in Eastern Europe, Asia and Mexico.
In the second quarter last year, the company announced a $60 million restructuring program involving three plant closures and one site downsizing.
Federal-Mogul lost $80 million, or 81 cents per share, for the period ended Dec. 31. That compares with a loss of $239 million, or $2.42 per share, in the year-earlier period.
Taking out restructuring and impairment charges and other items, it lost $41 million.
Revenue declined 3 percent to $1.6 billion from $1.65 billion as global commercial and industrial engine production fell 13 percent and European light vehicle production dropped 14 percent.
The company's stock fell $1.05, or 12 percent, to $8.03 in morning trading. Over the past year, the shares have traded between $6.90 and $17.97.
For the year, Federal-Mogul Corp. lost $117 million, or $1.18 per share. In 2011 the company lost $90 million, or 91 cents per share.
Adjusted 2012 earnings were $51 million.
Annual revenue fell 4 percent to $6.66 billion from $6.91 billion.