Dana Buys Engine-Parts Plants

TOLEDO, Ohio (AP) — Automotive supplier Dana Corp. of Toledo announced it has reached a definitive agreement to buy the engine-parts business of Federal-Mogul Corp. of Southfield, Mich., for $430 million.

Federal Mogul acquired the engine parts operations in its purchase this year of British auto component maker T&N PLC but agreed to sell them to satisfy federal anti-trust concerns.

The deal will give Dana an additional 4,000 employees and $450 million in annual sales. The 10 factories involved in the deal make engine bearings and other engine parts. Slightly more than half the employees being added are in Europe in France, Germany, Italy, and Scotland, the company said Tuesday.

U.S plants are in Bellefontaine, Caldwell and McConnelsville, Ohio, and Atlantic, Iowa. The purchase includes distribution facilities in Collierville, Tenn., and Olive Branch, Miss. as well as a sales operation in Ann Arbor, Mich.