Visteon Corp. is scheduled to meet bankers in the fourth week of September 2004 to discuss which parts of its auto components business could be sold off, a source close to the matter said. It is thoug…
Visteon Corp. is scheduled to meet bankers in the fourth week of September 2004 to discuss which parts of its auto components business could be sold off, a source close to the matter said. It is thought possible that the auto glass unit is among the businesses to be sold. Visteon said in the second week of September 2004 that it no longer expects to make a profit for the year, and said it was considering what steps to take to make the company competitive. In a press release, the company said it had overestimated 4Q production at Ford Motor Co., its biggest customer, by 100,000 vehicles. On 1 September 2004 the auto maker announced its plan to make 830,000 cars and trucks, or nearly 8% fewer than it made in the 4Q of 2003. Ford accounts for more than 70% of Visteon“s business, and the supplier reported it had sales of USD 3.4 billion to Ford in the 2Q 2004. Visteon tried to sell its auto glass unit in 2003, but was unsuccessful. The glass operations had sales of USD 173 million in the 2Q 2004, compared with USD 4.7 billion in sales for the automotive operations. Sources close to Visteon say the glass business could be offered for sale again, and that the company may also consider selling its steering systems line, car trim business and electronic fuel injection system. A sell-off of the interiors business was thought unlikely.