Dura Business Report FY ended Dec. 2006

Business Highlights

Financial overview

(in million dollars) FY2006 FY2005 Rate of
change (%)
Net Sales  2,091 2,291 (8.8) 1)

1)The Automotive segment continued experience declining production volumes in 2006, principally by the Big 3 domestic OEMs. The biggest decrease in the Big 3 vehicle production came in pickups and SUVs in light of record high gasoline prices in the US during FY2006. The Automotive segment's net new business declined significantly in 2006 and 2005, primarily as a result of this production volume decline and Lear insourcing the seat adjusters on the GMT800/GMT900 program. This program accounted for approximately 90 million dollars in 2006. Additionally, the Company faced increased pricing pressure from its OEM customers as they attempted to lower their production costs in light of industry conditions. Unit selling price declines, which accounted for approximately 37.3 million dollars of the 2006 revenue decline, were partially offset by a positive foreign currency exchange rate impact of 31.0 million in 2006.

-As a part of ongoing cost reduction and capacity utilization efforts, the Company has taken numerous actions to improve its cost  structure. 
-During 2006, the Company announced the following plant closures.
-Production at these facilities will be moved to other production facilities.

-Stratford plant, Ontario
-Bracebridge plant, Ontario

-Llanelli plant, Wales,

-LaGrange plant, Indiana
-Brownston plant, Indiana
-Hannibal South plant, Missouri
-Selinsgrove plant, Pennsylvania
-Jacksonville plant, Florida

-Barcelona plant

-In September 2006, the Company completed the sale of Dura Automotive Systems Kohler GmbH to an entity controlled by Hannover Finanz GmbH. 
-In 2006, the Company announced its intention to sell its jack business, and its hinge and latch business. The proposed divestitures will include the sale of the facilities in Butler, Indiana; and Mancelona, Michigan.


R&D Structure
-The Company has approximately 600 patents either granted or in the application process.
-As of December 31, 2005, the Company had sites that contain technical design and development capabilities in each of the major regions.

New Products Developments
RackLift(TM) Lightweight Window Lift Systems
-Self-lubricating and greaseless polyamide construction
-Proprietary rack & pinion lift system technology
-High efficiency & lightweight drive motor
-Compact packaging profile
-Advanced DuraTronix(TM) closed loop electronic control system
-Compatible with one-touch-up and express down
-Anti-pinch safety technology
-DURA FlexCoil(TM) electrical connection system
The systems offer all of these benefits at a lower cost than conventional window regulator systems and simplify the assembly process. The systems are engineered to be applicable for both OEM factory installation, or as an integral part of a complete door module.

Investment Activities

Capital Expenditure
(in million dollars)


FY2005 FY2004
Overall 84 64 65
Automotive 77 56 53