MEMO: DANA CORP. QUARTER SALES DOWN FROM LAST YEAR

Dana Corp. announced that its sales for the quarter that ended Sept. 30 were $2.9 billion, down from $3.1 billion for the same period last year.

The local Dana facility is a Spicer Light Vehicle Axle Division.

Operating income for the quarter totaled $61 million, or 41 cents per share -- in line with expectations announced by the company on Sept. 18. Reported net income for the period was $29 million, or 19 cents per share. This included net non-recurring expenses of $32 million after tax, primarily attributable to the closure of the company's Reading, Pa., Structural Products facility. For the third quarter of 1999, the company reported net income of $162 million or 97 cents per share. Last year's results included approximately $11 million of non-recurring after-tax charges.

Among the factors impacting Dana's quarterly results were a number of broad issues that affected the industry as a whole. These included unexpected reductions in production schedules for light trucks and sport utility vehicles manufactured by several of Dana's largest customers, a declining U.S. heavy truck market, softness in the U.S. and European aftermarkets, and the continued weakness of the euro.

Dana's board approved a quarterly dividend of 31 cents per share payable Dec. 15, to shareholders of record on Dec. 1. This will mark Dana's 252nd consecutive dividend -- dating back to 1936 -- without a reduced or missed payment.

Dana Corporation is one of the world's largest suppliers to vehicle manufacturers and their related aftermarkets. Founded in 1904 and based in Toledo, Ohio, the company operates approximately 320 major facilities in 32 countries and employees more than 80,000 people.