Linamar Corporation

Linamar Corporation

October 11, 2005 09:10 ET

Linamar Corporation Addresses Delphi Corporation's Bankruptcy Announcement

GUELPH, ONTARIO--(CCNMatthews - Oct. 11, 2005) - Linamar Corporation ("Linamar" or the "Company") (TSX:LNR) refers today to the filing on October 8, 2005 by Delphi Corporation and certain of its U.S. subsidiaries for business reorganization under the U.S. Bankruptcy Code. While Delphi is a valued customer of the Company, Linamar has been vigilant in managing its accounts receivable owed by Delphi. It is the belief of the company that the receivable balance at risk is at a level not material to the company's results.

Linamar expects to continue to supply Delphi as Delphi's reorganization proceeds and will continue to monitor and manage this customer relationship throughout that process.

Linamar designs, develops and manufactures precision machined components, modules and systems for engine, transmission and chassis systems primarily for the North American and European automotive marketplace. The company's industrial division is a world leader in aerial lift platform products. The company has nearly 10,000 employees in 37 manufacturing locations, four research and development centers and ten sales offices in Canada, United States, Mexico, Germany, Hungary, China, Korea and Japan.

Certain information regarding Linamar set forth in this document, including management's assessment of the Company's future plans and operations may constitute forward-looking statements. This information is based on current expectations that are subject to significant risks and uncertainties that are difficult to predict. Actual results may differ materially from these anticipated in the forward-looking statements due to factors such as the process and outcome of Delphi's restructuring, customer demand and timing of buying decisions, product mix, competitive products and pricing pressure. In addition, uncertainties and difficulties in domestic and foreign financial markets and economies could adversely affect demand from customers. These factors, as well as general economic and political conditions, may in turn have a material adverse effect on the Company's financial results. The Company assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those reflected in the forward-looking statements.

Contact Information

  • Linamar Corporation
    Linda Hasenfratz
    (519) 836-7550
    (519) 836-9175 (FAX)