Remy swings to profit, sees sales increase

November 18, 2008
Auto parts maker Remy International Inc. said yesterday that it turned in a $4.3 million profit in the third quarter, a stark contrast to the $39.3 million loss of a year earlier.

Sales for the Pendleton company increased 1.5 percent to $279.4 million.

A decline in sales to General Motors Corp. was offset by sales of parts for hybrid and parts for heavy-duty vehicles. Remy also benefited from cost-cutting.

In October last year, company's lenders approved a prepackaged Chapter 11 bankruptcy reorganization plan that slashed $360 million of debt. The plan included exchanging notes, canceling equity interests and raising $85 million in equity.

The former Delco Remy International Inc. was spun off from GM to an investor group in 1994. Much of its business centers on manufacturing starters and alternators.

Source: XMLFULL/XMLFull24249.xml

Recent Articles by IBJ Staff

Comments powered by Disqus