Factbox: GM strike sends ripples across auto parts suppliers

PAMT

08/11/2019 14:27

(Adds Magna International)
    Nov 8 (Reuters) - Several auto parts makers and suppliers
have lowered their full-year forecasts and disclosed hits to
quarterly earnings from the 40-day strike at No.1 U.S. carmaker
General Motors  GM.N .
    Last month, members of the United Auto Workers ratified a
new four-year labor deal, ending the strike that began on Sept.
16 over higher pay, greater job security, a bigger share of
profit and protection of healthcare benefits.  urn:newsml:reuters.com:*:nL2N27A0CZ
    Below are companies impacted by the strike:
    
    MAGNA INTERNATIONAL INC
    The Canadian auto parts maker said the labor strike at
General Motors, its biggest customer, will potentially hit
full-year sales by about $500 million.
    The strike will also hit consolidated margins by about 30
basis points, the company said.  urn:newsml:reuters.com:*:nL3N27O3KV

    AMERICAN AXLE & MANUFACTURING HOLDINGS INC
    The driveline and drivetrain systems maker said the strike
reduced third-quarter sales by $57 million and also warned of an
about $250 million hit to full-year revenue, prompting the
company to lower its 2019 forecast. 
        
    APTIV PLC 
    The auto parts maker said the strike wiped off $70 million
from the company's revenue and reduced profit by 10 cents per
share in the third quarter.
    The company's full-year forecast includes an estimated $250
million impact from the GM strike.
    
    TENNECO INC
    The auto parts maker expects the strike to have a negative
impact of about $35 million on fourth-quarter EBITDA.
    
    AK STEEL HOLDING CORP 
    The company cut its forecast for full-year earnings and
flat-rolled steel shipments, citing the strike.
    It predicted a reduction of flat-rolled steel shipments to
between 5.3 and 5.4 million tons for the full year, citing the
strike.
        
    KAISER ALUMINUM CORP
    The company said it had lower-than-expected automotive
shipments in the third quarter, partly due to the GM strike, and
flagged a potential $3 million to $6 million EBITDA impact.
    
    PULTEGROUP INC
    The U.S. homebuilder said it saw an impact on demand in many
of Midwest markets from the lengthy labor dispute.
    
    GENTEX CORP
    The automatic-dimming rearview mirror maker said the GM
strike hit third-quarter net sales by about 2%.
    Gentex also lowered its full-year sales forecast, and said
it expects about $7 million to $8 million in lost sales per week
of the strike.
    
    PAM TRANSPORTATION SERVICES
    The U.S. truckload services provider said the GM-UAW strike
impacted its quarterly earnings. 
        
    LINAMAR CORP
    The Canadian auto parts maker said it estimated a profit
impact of up to C$1 million ($761,035) per day due to a fall in
orders from General Motors.  urn:newsml:reuters.com:*:nL3N26O2WB


($1 = 1.3140 Canadian dollars)

 (Compiled by Sanjana Shivdas in Bengaluru; Editing by Sriraj
Kalluvila and Shailesh Kuber)
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