Delphi Announces First Quarter 2001 Financial Results

Soft Auto Production Leads to Weaker Revenues, Breakeven Operating Results



GAAP Results Include Global Restructuring Plans



Apr 19, 2001, 01:00 ET from Delphi Automotive Systems

    TROY, Mich., April 19 /PRNewswire/ -- Citing ongoing vehicle production
 softness in the global automotive market, Delphi Automotive Systems
 (NYSE:   DPH) today reported first quarter financial results including $2
 million of operating income and a consolidated net loss of $25 million, or
 $0.04 loss per share, excluding the impact of global restructuring and
 impairment charges announced on March 29, 2001.  Delphi's net income margin
 declined to (0.4) percent, compared to 4.1 percent in the first quarter 2000,
 while sales revenue was down 16 percent, or $1.3 billion, on a comparable
 basis.  Analyst consensus for the quarter as reported on First Call was $0.05
 loss per share.
     (Photo:  http://www.newscom.com/cgi-bin/prnh/20001019/DELPHIAS )
     Including the impact of the $404 million restructuring and impairment
 charges, Delphi's first quarter 2001 net loss was $429 million, or $0.77 loss
 per share.
     "The first quarter was very challenging for Delphi as we adjusted our
 infrastructure to match rapidly changing market conditions," said Alan S.
 Dawes, Delphi chief financial officer.  "While we anticipate slightly higher
 production schedules in the second quarter, we will continue to implement our
 cost reduction and revenue enhancement business strategies to facilitate a
 stronger second half for calendar year 2001, and beyond.
     "In response to market conditions, Delphi was able to reduce selling,
 general and administrative expenses by $81 million compared to the first
 quarter of 2000.  In spite of breakeven operating results, Delphi generated
 $102 million of operating cash flow during the period," Dawes said.
     Quarterly net sales totaled $6.5 billion, down 16 percent from the same
 period last year.  Sales to customers other than General Motors were 33
 percent of total sales, or $2.1 billion, while sales to GM totaled $4.4
 billion.  In addition to declining vehicle production schedules, Dawes
 attributed the decline to further softening of aftermarket demand and year-
 over-year weakness in the euro.
     "We are extremely disappointed that we were not able to improve earnings
 and margins at lower volumes," said Dawes.  "We moved aggressively on
 structural and selling, general and administrative costs, but we were hurt by
 inefficiencies related to the uneven order-flow we faced in North America.  We
 believe the long-term answer is to reduce our structural costs and our
 breakeven point."
     Delphi's $404 million after-tax charge was primarily related to major
 restructuring plans to close or consolidate nine plants, to reduce the global
 workforce by 11,500 employees, and to exit selected products over the next 12
 months.  In the first quarter, approximately 2,000 employees were separated
 under early retirement, voluntary separation and other programs with a first
 quarter cash impact of $(50) million.
     "The restructuring plans are intended to dramatically reduce Delphi's
 breakeven point and to address the weaker businesses of our portfolio," he
 said.  Delphi expects the restructuring plans to resolve $900 million of the
 $4 billion to $5 billion of products that are currently under management
 review.
     Dawes said the restructuring actions should begin to positively impact
 Delphi's net income later this year and grow over the next two years.  By late
 2003, the company expects the charge-related actions will lift Delphi's
 ongoing cash earnings power by more than $300 million annually.
 
     1Q 2001 Highlights
     During the quarter, Delphi supported the implementation of its customer
 diversification and product portfolio actions with a series of announcements,
 including:
 
     *  The completion of the Delphi Mechatronic Systems (formerly Vehicle
 Switch/Electronics Division) acquisition from Eaton Corp. on March 30 for
 approximately $300 million.  The newly combined resources and customer base
 establish Delphi as a market leader in mechatronic devices and complement
 Delphi's market leading electrical and electronic architecture business.
     *  Continued strong customer acceptance of Delphi's advanced common-rail
 diesel direct injection system.  The system will be fitted in Europe on the
 Ford Focus TDCi, which will be launched in May, and on Renault's Clio, Magane
 and Kangoo vehicles available this summer.
     *  The introduction of 10 new Communiport(R) Mobile MultiMedia products
 and technologies in 2001.
     *  The debut of the first development vehicle to be equipped with a solid
 oxide fuel cell by Delphi and BMW.
     *  The purchase of advanced disc brake systems technology from Federal-
 Mogul Corp.  The unique technology, which can significantly reduce brake
 corner assembly mass and system operating pressure, will be integrated into
 Delphi's market-leading brake systems.
     *  A teaming agreement with Ashimori Industry Co. Ltd. of Japan to pursue
 airbag business worldwide, which opens new markets for both companies and
 enhances Delphi's occupant protection systems support in the Asian automotive
 market.
     *  The creation of a New Markets unit, further demonstrating the company's
 commitment to profitably grow its high-tech product sales outside traditional
 automotive markets.  During the quarter Delphi began selling 2mm hard metric
 connectors to the telecom and datacom markets through its Packard-Hughes
 Interconnect subsidiary.  The new contract will supplement Delphi's existing
 New Markets business in the communications, military & aerospace, agriculture
 & construction, and recreation segments, which generated revenues of $460
 million in 2000.
     *  Several new product contracts with companies such as Renault,
 Brilliance China Automotive Holdings Ltd., National Seating, General Motors,
 Ford and Lexus.
 
     Outlook
     Dawes repeated his March 29 outlook for improved second quarter financial
 performance, resulting from a combination of cost reduction initiatives and
 more level and somewhat higher vehicle production schedules.  Dawes said the
 company estimates Q2 2001 revenues in the $6.8 to $6.9 billion range, which is
 approximately 11 percent below Q2 2000 revenues of $7.7 billion.  In line with
 lower year-over-year revenue, Delphi expects second quarter net income in the
 $160 million to $200 million range, and operating cash flow in the $300
 million to $400 million range, excluding the impact of cash outflows
 associated with the global restructuring charges.  The impact of employee
 separation cash costs are expected to be up to $175 million in the second
 quarter, and $250 million to $350 million for the calendar year.
     Regarding future business opportunities, Dawes said, "As stated at our
 independence, we expect our revenues, on a comparable basis, to grow modestly
 from 1998 to 2003, assuming projected production levels.  By growing our
 revenues with customers other than GM by 10-15 percent annually, we expect to
 outpace an anticipated decline of 3-4 percent in sales with GM."
     Additional information concerning Delphi's Q1 results can be accessed
 through the Investor Relations page of Delphi's website at
 www.delphiauto.com , and in Delphi's first quarter 10-Q, expected to be filed
 with the Securities and Exchange Commission later today.
     Highlights attached.
 
     About Delphi
     For more information about Delphi Automotive Systems, visit Delphi's
 Virtual Press Room at www.delphiauto.com/VPR .
 
     Forward Looking Statements
     The Private Securities Litigation Reform Act of 1995 provides a safe
 harbor for forward-looking statements made by us or on our behalf.  All
 statements contained or incorporated in this release which address operating
 performance, events or developments that we expect or anticipate may occur in
 the future (including statements relating to future sales or earnings
 expectations, savings expected as a result of our restructuring plans or other
 initiatives, volume growth, awarded sales contracts and earnings per share
 expectations or statements expressing general optimism about future operating
 results) are forward-looking statements.  Principal important factors, risks
 and uncertainties which may cause actual results to differ from those
 expressed in our forward-looking statements are: our ability to increase non-
 GM sales and achieve the labor benefits expected from our separation from GM,
 potential increases in our warranty costs, our ability to successfully
 implement our global restructuring plans, changes in the economic conditions
 or political environment in the markets in which we operate, currency
 exchange/fluctuations, financial or market declines of our customers or
 significant business partners, labor disruptions or material shortages, the
 level of competition in the automotive industry, significant downturns in the
 automobile production rate, costs relating to legal and administrative
 proceedings, changes in laws or regulations pertaining to the automotive
 industry, our ability to realize costs savings expected to offset price
 reductions, our ability to make pension and other post-retirement payments at
 levels anticipated by management, our ability to successfully exit non-
 performing businesses and absorb contingent liabilities related to
 divestitures, our ability to complete and integrate acquisitions, changes in
 technology and technological risks, our ability to protect and assert patent
 and other intellectual property rights, and other factors, risks and
 uncertainties discussed in our annual report on Form 10-K for the fiscal year
 ended December 31, 2000 and other filings with the Securities and Exchange
 Commission.  Delphi does not intend or assume any obligation to update any of
 these forward-looking statements.
 
     HIGHLIGHTS - Three months ended March 31, 2001 vs. three months ended
 March 31, 2000 comparison
 
                                                        Three Months Ended
                                                            March 31,
                                                      2001             2000
                                                     (in millions, except per
                                                          share amounts)
 
     Net sales:
      General Motors and affiliates                  $4,366          $5,570
      Other customers                                 2,169           2,234
         Total net sales                              6,535           7,804
 
     Less operating expenses:
     Cost of sales, excluding items listed below      5,901           6,596
     Selling, general and administrative                378             459
     Depreciation and amortization                      254 (1)         232
     Operating income                                     2 (1)         517 (2)
 
     Less interest expense                               56              40
     Other income, net                                   15 (1)          34
     (Loss) income before income taxes                  (39)            511
     Less income tax (benefit) expense                  (14) (1)        189 (2)
 
     Net (loss) income                                 $(25) (1)       $322 (2)
 
     Gross margin                                       9.7%           15.5%
 
 
     Basic and diluted (loss) earnings per share,
     560 million shares outstanding in 2001 and
     563 million (basic) and 566 million (diluted)
     shares outstanding in 2000                      $(0.04) (1)      $0.57 (2)
 
     (1)  Excludes the impact of $617 million ($404 million after-tax) of
 restructuring and impairment charges comprised of restructuring of $536
 million, asset impairments of $63 million, investment impairments of $18
 million and income tax benefit of $213 million.  Including these restructuring
 and impairment charges, depreciation and amortization was $317 million,
 operating (loss) income was $(597) million, other (expense) income was $(3)
 million, income tax (benefit) expense was $(227) million, net (loss) income
 was $(429) million and basic and diluted (loss) earnings per share was
 $(0.77).
     (2)  Excludes the impact of a one-time, non-cash charge of $51 million
 ($32 million after-tax) resulting from acquisition-related in-process research
 and development.  Including the $51 million charge, net income was $290
 million and basic and diluted earnings per share was $0.51.
 
 
     HIGHLIGHTS - Sector financial results
 
 
                Sector                   Three Months Ended March 31,
 
                                  2001    2000         2001           2000
                                  Sales   Sales     Operating       Operating
                                                  Income (Loss)   Income (Loss)
                                              (in millions)
     Electronics & Mobile
     Communication
     Mobile MultiMedia            $111     $32         $(3)           $(8)
     Other Electronics & Mobile
     Communication               1,095   1,360          67  (1)        149
     Total                       1,206   1,392          64  (1)        141
 
     Safety, Thermal & Electrical
     Architecture                2,248   2,692          49  (1)        207
 
     Dynamics & Propulsion       3,178   3,821        (100) (1)        184 (2)
 
     Other                         (97)   (101)        (11) (1)        (15)
 
     Total                      $6,535  $7,804          $2  (1)       $517 (2)
 
     (1)  Excludes restructuring and asset impairment charges of $78 million
 for Electronics & Mobile Communication, $214 million for Safety, Thermal &
 Electrical Architecture, $280 million for Dynamics & Propulsion and $27
 million for Other.
 
     (2)  Excludes the one-time, non-cash charge of $51 million resulting from
 acquisition-related in-process research and development.
 
     HIGHLIGHTS - Liquidity and capital resources
 
     BALANCE SHEET DATA:
     (in millions)
 
                                            March 31,  December 31,  March 31,
                                             2001         2000         2000
 
     Cash and cash equivalents               $704         $760         $916
 
     Debt                                   3,368        3,182        2,927
 
       Net liquidity                      $(2,664)     $(2,422)     $(2,011)
 
     Total stockholders' equity            $3,222       $3,766       $3,434
 
 
     RECONCILIATION OF NET LIQUIDITY:
     (in millions)
 
     Net liquidity at December 31, 2000                             $(2,422)
 
      Net loss                                             (25) (1)
      Depreciation and amortization                        254  (1)
      Capital expenditures                                (194)
      Cash paid for restructuring                          (50) (2)
      Other, net                                           117  (1)
 
     Operating cash flow less capital expenditures                      102
 
     Cash paid for acquisitions                                        (263)
 
     Dividends and other non-operating                                  (81)
 
     Net liquidity at March 31, 2001                                $(2,664)
 
     (1)  Excludes the impact of $617 million ($404 million after-tax) of
 restructuring and impairment charges comprised of restructuring of $536
 million, asset impairments of $63 million and investment impairments of $18
 million.
     (2)  Total cash outflows associated with the restructuring are expected to
 be $450 million, of which $50 million was paid in the first quarter of 2001.
 
 

SOURCE Delphi Automotive Systems
    TROY, Mich., April 19 /PRNewswire/ -- Citing ongoing vehicle production
 softness in the global automotive market, Delphi Automotive Systems
 (NYSE:   DPH) today reported first quarter financial results including $2
 million of operating income and a consolidated net loss of $25 million, or
 $0.04 loss per share, excluding the impact of global restructuring and
 impairment charges announced on March 29, 2001.  Delphi's net income margin
 declined to (0.4) percent, compared to 4.1 percent in the first quarter 2000,
 while sales revenue was down 16 percent, or $1.3 billion, on a comparable
 basis.  Analyst consensus for the quarter as reported on First Call was $0.05
 loss per share.
     (Photo:  http://www.newscom.com/cgi-bin/prnh/20001019/DELPHIAS )
     Including the impact of the $404 million restructuring and impairment
 charges, Delphi's first quarter 2001 net loss was $429 million, or $0.77 loss
 per share.
     "The first quarter was very challenging for Delphi as we adjusted our
 infrastructure to match rapidly changing market conditions," said Alan S.
 Dawes, Delphi chief financial officer.  "While we anticipate slightly higher
 production schedules in the second quarter, we will continue to implement our
 cost reduction and revenue enhancement business strategies to facilitate a
 stronger second half for calendar year 2001, and beyond.
     "In response to market conditions, Delphi was able to reduce selling,
 general and administrative expenses by $81 million compared to the first
 quarter of 2000.  In spite of breakeven operating results, Delphi generated
 $102 million of operating cash flow during the period," Dawes said.
     Quarterly net sales totaled $6.5 billion, down 16 percent from the same
 period last year.  Sales to customers other than General Motors were 33
 percent of total sales, or $2.1 billion, while sales to GM totaled $4.4
 billion.  In addition to declining vehicle production schedules, Dawes
 attributed the decline to further softening of aftermarket demand and year-
 over-year weakness in the euro.
     "We are extremely disappointed that we were not able to improve earnings
 and margins at lower volumes," said Dawes.  "We moved aggressively on
 structural and selling, general and administrative costs, but we were hurt by
 inefficiencies related to the uneven order-flow we faced in North America.  We
 believe the long-term answer is to reduce our structural costs and our
 breakeven point."
     Delphi's $404 million after-tax charge was primarily related to major
 restructuring plans to close or consolidate nine plants, to reduce the global
 workforce by 11,500 employees, and to exit selected products over the next 12
 months.  In the first quarter, approximately 2,000 employees were separated
 under early retirement, voluntary separation and other programs with a first
 quarter cash impact of $(50) million.
     "The restructuring plans are intended to dramatically reduce Delphi's
 breakeven point and to address the weaker businesses of our portfolio," he
 said.  Delphi expects the restructuring plans to resolve $900 million of the
 $4 billion to $5 billion of products that are currently under management
 review.
     Dawes said the restructuring actions should begin to positively impact
 Delphi's net income later this year and grow over the next two years.  By late
 2003, the company expects the charge-related actions will lift Delphi's
 ongoing cash earnings power by more than $300 million annually.
 
     1Q 2001 Highlights
     During the quarter, Delphi supported the implementation of its customer
 diversification and product portfolio actions with a series of announcements,
 including:
 
     *  The completion of the Delphi Mechatronic Systems (formerly Vehicle
 Switch/Electronics Division) acquisition from Eaton Corp. on March 30 for
 approximately $300 million.  The newly combined resources and customer base
 establish Delphi as a market leader in mechatronic devices and complement
 Delphi's market leading electrical and electronic architecture business.
     *  Continued strong customer acceptance of Delphi's advanced common-rail
 diesel direct injection system.  The system will be fitted in Europe on the
 Ford Focus TDCi, which will be launched in May, and on Renault's Clio, Magane
 and Kangoo vehicles available this summer.
     *  The introduction of 10 new Communiport(R) Mobile MultiMedia products
 and technologies in 2001.
     *  The debut of the first development vehicle to be equipped with a solid
 oxide fuel cell by Delphi and BMW.
     *  The purchase of advanced disc brake systems technology from Federal-
 Mogul Corp.  The unique technology, which can significantly reduce brake
 corner assembly mass and system operating pressure, will be integrated into
 Delphi's market-leading brake systems.
     *  A teaming agreement with Ashimori Industry Co. Ltd. of Japan to pursue
 airbag business worldwide, which opens new markets for both companies and
 enhances Delphi's occupant protection systems support in the Asian automotive
 market.
     *  The creation of a New Markets unit, further demonstrating the company's
 commitment to profitably grow its high-tech product sales outside traditional
 automotive markets.  During the quarter Delphi began selling 2mm hard metric
 connectors to the telecom and datacom markets through its Packard-Hughes
 Interconnect subsidiary.  The new contract will supplement Delphi's existing
 New Markets business in the communications, military & aerospace, agriculture
 & construction, and recreation segments, which generated revenues of $460
 million in 2000.
     *  Several new product contracts with companies such as Renault,
 Brilliance China Automotive Holdings Ltd., National Seating, General Motors,
 Ford and Lexus.
 
     Outlook
     Dawes repeated his March 29 outlook for improved second quarter financial
 performance, resulting from a combination of cost reduction initiatives and
 more level and somewhat higher vehicle production schedules.  Dawes said the
 company estimates Q2 2001 revenues in the $6.8 to $6.9 billion range, which is
 approximately 11 percent below Q2 2000 revenues of $7.7 billion.  In line with
 lower year-over-year revenue, Delphi expects second quarter net income in the
 $160 million to $200 million range, and operating cash flow in the $300
 million to $400 million range, excluding the impact of cash outflows
 associated with the global restructuring charges.  The impact of employee
 separation cash costs are expected to be up to $175 million in the second
 quarter, and $250 million to $350 million for the calendar year.
     Regarding future business opportunities, Dawes said, "As stated at our
 independence, we expect our revenues, on a comparable basis, to grow modestly
 from 1998 to 2003, assuming projected production levels.  By growing our
 revenues with customers other than GM by 10-15 percent annually, we expect to
 outpace an anticipated decline of 3-4 percent in sales with GM."
     Additional information concerning Delphi's Q1 results can be accessed
 through the Investor Relations page of Delphi's website at
 www.delphiauto.com , and in Delphi's first quarter 10-Q, expected to be filed
 with the Securities and Exchange Commission later today.
     Highlights attached.
 
     About Delphi
     For more information about Delphi Automotive Systems, visit Delphi's
 Virtual Press Room at www.delphiauto.com/VPR .
 
     Forward Looking Statements
     The Private Securities Litigation Reform Act of 1995 provides a safe
 harbor for forward-looking statements made by us or on our behalf.  All
 statements contained or incorporated in this release which address operating
 performance, events or developments that we expect or anticipate may occur in
 the future (including statements relating to future sales or earnings
 expectations, savings expected as a result of our restructuring plans or other
 initiatives, volume growth, awarded sales contracts and earnings per share
 expectations or statements expressing general optimism about future operating
 results) are forward-looking statements.  Principal important factors, risks
 and uncertainties which may cause actual results to differ from those
 expressed in our forward-looking statements are: our ability to increase non-
 GM sales and achieve the labor benefits expected from our separation from GM,
 potential increases in our warranty costs, our ability to successfully
 implement our global restructuring plans, changes in the economic conditions
 or political environment in the markets in which we operate, currency
 exchange/fluctuations, financial or market declines of our customers or
 significant business partners, labor disruptions or material shortages, the
 level of competition in the automotive industry, significant downturns in the
 automobile production rate, costs relating to legal and administrative
 proceedings, changes in laws or regulations pertaining to the automotive
 industry, our ability to realize costs savings expected to offset price
 reductions, our ability to make pension and other post-retirement payments at
 levels anticipated by management, our ability to successfully exit non-
 performing businesses and absorb contingent liabilities related to
 divestitures, our ability to complete and integrate acquisitions, changes in
 technology and technological risks, our ability to protect and assert patent
 and other intellectual property rights, and other factors, risks and
 uncertainties discussed in our annual report on Form 10-K for the fiscal year
 ended December 31, 2000 and other filings with the Securities and Exchange
 Commission.  Delphi does not intend or assume any obligation to update any of
 these forward-looking statements.
 
     HIGHLIGHTS - Three months ended March 31, 2001 vs. three months ended
 March 31, 2000 comparison
 
                                                        Three Months Ended
                                                            March 31,
                                                      2001             2000
                                                     (in millions, except per
                                                          share amounts)
 
     Net sales:
      General Motors and affiliates                  $4,366          $5,570
      Other customers                                 2,169           2,234
         Total net sales                              6,535           7,804
 
     Less operating expenses:
     Cost of sales, excluding items listed below      5,901           6,596
     Selling, general and administrative                378             459
     Depreciation and amortization                      254 (1)         232
     Operating income                                     2 (1)         517 (2)
 
     Less interest expense                               56              40
     Other income, net                                   15 (1)          34
     (Loss) income before income taxes                  (39)            511
     Less income tax (benefit) expense                  (14) (1)        189 (2)
 
     Net (loss) income                                 $(25) (1)       $322 (2)
 
     Gross margin                                       9.7%           15.5%
 
 
     Basic and diluted (loss) earnings per share,
     560 million shares outstanding in 2001 and
     563 million (basic) and 566 million (diluted)
     shares outstanding in 2000                      $(0.04) (1)      $0.57 (2)
 
     (1)  Excludes the impact of $617 million ($404 million after-tax) of
 restructuring and impairment charges comprised of restructuring of $536
 million, asset impairments of $63 million, investment impairments of $18
 million and income tax benefit of $213 million.  Including these restructuring
 and impairment charges, depreciation and amortization was $317 million,
 operating (loss) income was $(597) million, other (expense) income was $(3)
 million, income tax (benefit) expense was $(227) million, net (loss) income
 was $(429) million and basic and diluted (loss) earnings per share was
 $(0.77).
     (2)  Excludes the impact of a one-time, non-cash charge of $51 million
 ($32 million after-tax) resulting from acquisition-related in-process research
 and development.  Including the $51 million charge, net income was $290
 million and basic and diluted earnings per share was $0.51.
 
 
     HIGHLIGHTS - Sector financial results
 
 
                Sector                   Three Months Ended March 31,
 
                                  2001    2000         2001           2000
                                  Sales   Sales     Operating       Operating
                                                  Income (Loss)   Income (Loss)
                                              (in millions)
     Electronics & Mobile
     Communication
     Mobile MultiMedia            $111     $32         $(3)           $(8)
     Other Electronics & Mobile
     Communication               1,095   1,360          67  (1)        149
     Total                       1,206   1,392          64  (1)        141
 
     Safety, Thermal & Electrical
     Architecture                2,248   2,692          49  (1)        207
 
     Dynamics & Propulsion       3,178   3,821        (100) (1)        184 (2)
 
     Other                         (97)   (101)        (11) (1)        (15)
 
     Total                      $6,535  $7,804          $2  (1)       $517 (2)
 
     (1)  Excludes restructuring and asset impairment charges of $78 million
 for Electronics & Mobile Communication, $214 million for Safety, Thermal &
 Electrical Architecture, $280 million for Dynamics & Propulsion and $27
 million for Other.
 
     (2)  Excludes the one-time, non-cash charge of $51 million resulting from
 acquisition-related in-process research and development.
 
     HIGHLIGHTS - Liquidity and capital resources
 
     BALANCE SHEET DATA:
     (in millions)
 
                                            March 31,  December 31,  March 31,
                                             2001         2000         2000
 
     Cash and cash equivalents               $704         $760         $916
 
     Debt                                   3,368        3,182        2,927
 
       Net liquidity                      $(2,664)     $(2,422)     $(2,011)
 
     Total stockholders' equity            $3,222       $3,766       $3,434
 
 
     RECONCILIATION OF NET LIQUIDITY:
     (in millions)
 
     Net liquidity at December 31, 2000                             $(2,422)
 
      Net loss                                             (25) (1)
      Depreciation and amortization                        254  (1)
      Capital expenditures                                (194)
      Cash paid for restructuring                          (50) (2)
      Other, net                                           117  (1)
 
     Operating cash flow less capital expenditures                      102
 
     Cash paid for acquisitions                                        (263)
 
     Dividends and other non-operating                                  (81)
 
     Net liquidity at March 31, 2001                                $(2,664)
 
     (1)  Excludes the impact of $617 million ($404 million after-tax) of
 restructuring and impairment charges comprised of restructuring of $536
 million, asset impairments of $63 million and investment impairments of $18
 million.
     (2)  Total cash outflows associated with the restructuring are expected to
 be $450 million, of which $50 million was paid in the first quarter of 2001.
 
 SOURCE  Delphi Automotive Systems

RELATED LINKS

http://www.delphiauto.com