SOUTHFIELD, Mich. (Sept. 5, 2012)—Federal-Mogul Corp. said it has reorganized into two business units, according to the company.
Federal-Mogul's powertrain section, which creates original equipment for the automotive, heavy duty and industrial markets, was separated along with the vehicle component.
"Today's announcement is the fulfillment of the direction established by the company's board of directors in March 2012, to focus the business on the unique needs of customers who buy original equipment powertrain products, or aftermarket and vehicle components," said Rainer Jueckstock, co-CEO, Federal-Mogul and CEO F-M Powertrain Segment.
He said the two operating segments will continue to be divisions of Federal-Mogul Corp. and continue to use the FDML stock symbol.
The vehicle component unit distributes products, such as brake friction, chassis, wipers and other vehicle components in the vehicle aftermarket, as well as to original equipment manufacturers.
According to the company in 2011 its powertrain section reported $4.2 billion in sales and employed 32,500 employees. The vehicle component saw $3.1 billion in sales and employed 12,500 people.
The separation became effective on Sept. 1, with all financial information being reported on a two segment structure. Each segment will have a chief executive officer that will report to the board of directors.