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Getting Back On the Road

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Dana comes out ahead of Delphi and exits bankruptcy. Mistakes made by Steve Miller which are costing Delphi. One was to take on the unions publicly. Dana's McCracken thinks its best not to do this publicly and create antagonisms. Delphi's rocky relations with the unions means that talks that ended in June 2007 took 21 months of negotiation. And then with the involvement of Cerberus the talks dragged along for longer. Because of the deteriorating union-Delphi relations Cerberus exited. By then in late 2007 Delphi faced the credit crunch and changed credit markets so that financing is difficult. Hedge fund Appaloosa Management is the lead investor in Delphi and its founder David Tepper has poor relations with the UAW. In contrast the UAW brought in private equity investor Centerbridge Capital Partners and they had good communications witht the unions. Delphi is losing $1.3 billion in 3rd quarter 2007, whereas Dana is expected to breakeven in 2008.

Delphi Automotive management

01/07/2008

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Delphi Automotive strategy

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Grouped Articles

Auto-Parts Industry Thrives by Shift to High Tech Gear

Wall Street Journal 11/17/2013

Delphi Chief Rodney O'Neal to Retire

Wall Street Journal 09/10/2014

Delphi Focuses on Markets for Green and Safe Technology

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Delphi Automotive’s C.E.O., on Detours and Opportunity

New York Times 01/05/2013

Getting Back On the Road

Wall Street Journal 01/07/2008

Two Heroes of Detroit

Wall Street Journal 01/16/2008

Dana

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Grouped Articles

Getting Back On the Road

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