DURA Automotive Systems Inc., parent of RV industry suppliers Atwood Mobile Products and Creation Group, today (Oct. 28) reported a net loss of $2.7 million for its third quarter.
The Rochester Hills, Mich.-based company cited rising steel prices, a tightening automotive market and facility consolidation costs, including the closure of four U.S. plants.
“As we expected, this was a challenging quarter for the automotive industry with elevated steel pricing and softening North American production volumes. We identified these issues early on and managed our business aggressively to reduce the impact on our margins,” said Larry Denton, president and chief executive officer of DURA Automotive.
DURA reported revenues of $616.4 million for the third quarter compared to $554.4 million in 2003.
Including a pretax facility consolidation charge of $5.1 million, the net loss for the quarter was $2.7 million compared to a net income of $5.2 million last year.
The facility consolidation charge for the quarter relates to the previously announced closure of plants in Fulton, Ky.; Brookfield, Mo.; Pikeville, Tenn.; and an Atwood facility in Rockford, Ill.
In addition, DURA is continuing to address its capacity utilization challenges at facilities in France and Germany.