Delphi Corp., the nation’s largest manufacturer to file for bankruptcy, on Monday announced it has agreed to sell its brake-hose business, based in Dayton, Ohio, for $9.8 million to Harco Manufacturing Group LLC, based in Englewood, Ohio.
The sale of the brake hose business — which had annual revenue of $60 million — includes all machinery, equipment, intellectual property and customer contracts. Delphi said the sale does not include the facility or the workforce.
The Troy-based auto supplier said 35 salary workers and 120 hourly workers were assigned to that product line. Delphi is in discussions with United Steel Workers of America Local 87 on the future of the hourly workers . Salary workers will either transfer to another plant, retire or be let go. The facility will remain open and continue making Delphi’s line of powertrain and engine mounts.
Over the past year, the Troy-based automotive supplier has accelerated its strategy of shifting away from commodity parts, such as brake hoses and spark plugs, in favor of more profitable, highly technological products. Last month, for instance, the supplier landed a $1 million contract with NASA to supply its deformation resistance welding technology.
To complete the brake-hose sale to Harco, Delphi must win bankruptcy court approval at a hearing expected to be held March 22.
All Rights Reserved. Do not reproduce, copy and use the editorial content without permission. Contact us: email@example.com.
Anytime and anywhere to know the dynamics of China's auto industry