Delphi “leaner and more nimble” after Chapter 11 restructure

Delphi’s vice president has announced the company’s emergence from Chapter 11 as a privately owned entity to the European automotive aftermarket.

Frank Ordoñez made a personal appearance at the Equip Auto Exhibition in Paris this week where he briefed the trade and journalists on Delphi’s new structure.

Delphi went into Chapter 11 administration in 2005 and it has taken four years to reorganise the company, shedding unprofitable operations and narrowing its focus onto key areas of expertise.

Ordoñez said that the company is now “a more agile, nimble and resilient company” with a focus on “providing innovative solutions to real world challenges”.

It has streamlined its OE product lines from 27 down to 10 and has diversified its client base so that no single customer accounts for more than 15% of Delphi sales.

The company’s product portfolio remains centered on electronics and safety; powertrain; thermal; electrical and electronic systems; OE service; and the independent aftermarket.

Delphi has a “bright future” as a private company, said Ordoñez.

In 2009 Delphi booked in aftermarket and OEM programmes worth more than US $4bn and has committed to spending 11% of sales on engineering and R&D in 2010.

Look out for your November issue of CAT mag for background and analysis