Delphi Sells Three Subsidiaries.(Delphi Automotive Systems)(Brief Article)

Delphi Automotive Systems said that it has exited three ventures with total non-consolidated sales of approximately $60 million. The divestitures include two minority interest businesses, located in North America and South America, which produce thermal products and wafer chips for automotive applications.

"We are fully committed to address operations that are not performing to expectations or have limited strategic value due to changing business priorities," said Delphi Chief Financial Officer Alan S. Dawes. "These moves support Delphi's strong track record of completing portfolio management actions that enhance our profitability while allowing us to better utilize capital resources for acquisitions, emerging technologies and investment in core businesses."

The two divestitures are:

Componentes Delfa, a minority joint venture with Fabrica de Aparotors de Aire Acondicionado in Venezuela, to supply thermal products for the Venezuelan automotive market; and,

Flip Chip Technologies, LLC., a minority joint venture with Kulicke & Soffa, Inc. in Phoenix, Ariz., to co-develop flip chips used in automotive engine electronics.

In addition, due to changing business objectives in the partnership and in response to economic and competitive factors, Delphi sold its share of stock in Delphi NSK Steering, A 50 percent joint venture with NSK,Ltd. of Japan, For the sale of halfshafts to automotive customers in Asia, it said.

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