Delphi Corporation has booked US$3.3 billion in new steering and half-shaft business to date in 2006, and expects additional new business awards prior to year-end, company officials said.
Most of the new business awards are approximately five years in duration. Further details remain confidential. Sixteen global customers are included among the new business awards, with no single customer representing more than 50 per cent of the total business.
More than half of the new business is for vehicles produced in Europe, Asia and South America. The products sold include electric and hydraulic power steering systems, steering columns, gears, hoses and half-shafts.
“We’re showing remarkable strength during a turbulent time for the entire industry,” said Bob Remenar, president of Delphi Steering division. “This sales performance shows that we have strong technologies that excite a diversified and global customer base. We have a team that is committed to bringing value to our customers. Our team has built strong sales momentum throughout the year. We expect that momentum to continue for the remainder of the year and into 2007.”
Beyond the short-term improvement, the news has historical significance. In the 100 years that Delphi has been producing steering components and systems, 2006 will represent the second-strongest bookings year ever.
As the division continues to book sales for the remainder of the year, Remenar said he expects that 2006 will reflect more than a 50 per cent gain compared with 2005.
Remenar further said more than 30 per cent of the new business in 2006 is conquest business.
“It’s really simple,” Remenar said. “We expect that as more customers get to know us — our people, our products, our quality, and our global footprint, with our engineering and manufacturing capabilities — they will want to do more business with Delphi Steering.”