Deterioration of the U.S. heavy truck market, aftermarket softness, and reduced production of light trucks and SUVs cut Dana profits almost in half last year.

The company reported operating income of $377 million on sales of $12.3 billion for 2000. Net income, after $43 million on non-recurring charges, was $334 million. In 1999 the company’s operating income was $678 million on sales of $13.2 billion. Net income was $513 million. Non-recurring charges in 2000 included costs associated with plant closures and downsizing, and the company’s exit from several business lines.
Operating earnings for the fourth quarter were $2 million on sales of $2.7 billion, compared to $144 million on $3.2 billion for fourth quarter 1999.
Dana recently cut its worldwide workforce by nearly 10,000 people, has closed 11 facilities, and reduced capital spending except for new products. The company said it is pursuing supplier cost reductions via e-business initiatives.