Federal-Mogul Corporation (USA), currently operating under Chapter 11 Bankruptcy protection, reported first quarter 2003 loss of $34 million.
Sales were nominally $1.41 billion, up 5% from 2002's $1.35 billion. However, if impacts of foreign exchange gains and divestitures are factored out, organic sales declined 2% to $1.33 billion.
If a wide variety of expenses are excluded, F-M said pro forma earnings from operations could be reported as $7 million, up from $0 in the first quarter of 2002.
Chairman and CEO Frank Macher said, "We are very pleased with our operating earnings improvement, especially in this challenging business environment."
The company said its first quarter sales mix was 43% aftermarket, 57% OEM. Excluding international currency effects, aftermarket sales were down 2% from 2002 while OEM sales were essentially flat.
OEM sales for the global powertrain product lines of bearings, pistons, piston rings and liners, sintered valve train and transmission products were $484 million, essentially flat from 2002.
Federal-Mogul is currently completing a reorganization plan which allows the company to emerge from Chapter 11 bankruptcy with a vastly different capitalization and ownership.