Dana to Restate Earnings for 2004, 2005

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eavy-duty component supplier Dana Corp. said Monday it will restate its 2004 and first two quarters of 2005 earnings after an internal investigation found accounting errors.

Dana also said it has postponed its third-quarter 2005 earnings release and is withdrawing its earnings guidance for full-year 2005.

“The primary purpose for the restatements is to correct issues involving customer pricing and transactions with suppliers in Dana's commercial vehicle business,” Dana said in the statement. “The company has not completed its investigations.”

“In connection with the restatements, the company believes that there are material weaknesses in its internal control over financial reporting,” the statement said.

The conclusions were reached in consultation with Dana’s independent accounting firm, PricewaterhouseCoopers, and independent investigators retained by its audit committee.