Federal-Mogul releases third quarter results
Federal-Mogul Corp. today reported third quarter sales of $1.345 million, up 4% from $1.289 million in 2001.
Pre-tax profit from operations was $13 million compared to a loss of $87 million in the third quarter of 2001.
Operating results for Q3 2002 and 2001 exclude restructuring and impairment charges, Chapter 11 and administration-related expenses and net losses from divestitures, says the company. In addition, for the third quarter of 2001, operating results exclude tax valuation allowances and gains on debt-to-equity swaps.
Including the above items, in the third quarter of 2002 Federal-Mogul reported a net loss of $73 million compared to a net loss of $810 million in 2001.
"We remain on target with our operational improvements and we are achieving our productivity goals as demonstrated by our imporved operating margin," says Frank Macher, chairman and CEO. "We are strengthening our future competitive advantage through our investment today in new technology centers both in Yokohama, Japan, and Plymouth, Mich.
"Our customers are responding very favorably to the new products we have recently lauched, such as our ThermoQuiet brake pads, which were recently announced as a 2003 PACE Product Innovation Award finalist."
Sales of original equipment parts totaled 56% of the company's third quarter 2002 sales or $747 million compared with $677 million in 2001. OE volume was up significantly in global friction products and pistons.
Sales of replacement parts to aftermarket customers totaled 44% of the company's Q3 2002 sales or $598 million compared with $612 million in 2001. Softness in the North American aftermarket, especially in seasonal products, impacted negatively due to the mild and dry weather, the company reports.