GDX to close one of three French sealing plants

FARMINGTON HILLS, Mich. (Nov. 20)—GDX Automotive, a unit of GenCorp Inc., said it plans to close one of its three French sealing plants during the first half of 2004 because of decreased sales with French auto makers. GenCorp released a statement saying it will begin talks with employee representatives at the Snappon S.A. operation in Chartres, France, to develop transition programs for the approximate 260 employees who will be put out of work. GDX did not release projected cost savings from the move but said it expects to take net charges of $10 million to $15 million in the second quarter of next year. The seal maker also will record impairment charges and asset write-downs during the fourth quarter, but they should be offset substantially by U.S. tax benefits from the move.