30th January 2007 - Delphi to Sell Brake Hose Business

Delphi Agrees to Sell Brake Hose Business to Harco Manufacturing Group

Delphi Corp. said it has agreed to sell its brake hose business to Harco Manufacturing Group LLC, a privately held supplier of auto parts based in Portland, Ore.

The auto supplier, which is operating under bankruptcy protection, said it has filed a motion with the U.S. Bankruptcy Court for the Southern District of New York to request a bidding procedures hearing on Feb. 15.

After the completion of the bidding procedure process, a final sale hearing is expected to be scheduled for March 22.

The final sale of the business is subject to the approval of the U.S. Bankruptcy Court, and waiver of any "no sale" clause in any agreements between Delphi and the Steel Workers of America.

The agreement includes machinery and equipment, intellectual property and assignment and assumption of certain customer contracts.

The agreement does not include any real estate or production facilities, or the transfer of Delphi workers to Harco.

Source: Delphi Corporation Press Release