Delphi lost $2.4 billion in 2005
Now that the results are in, we've learned that Delphi lost $2.4 billion in 2005, which is an improvement over 2004 when the company lost $4.9 billion. That amounts to a loss of $4.21 per share. In the fourth quarter of 2006, Delphi lost $828 million, which was again an improvement over the same period in 2004 during which it lost $4.9 billion, the bulk which came from a $4.7-billion non-cash write-off.
Delphi's losses were the direct result of GM, its biggest customer, cutting North American vehicle production combined with the rising cost of raw materials. In its filing with the SEC, Delphi warned of many factors that could prevent it from emerging from bankruptcy in mid-2007, though CEO Steve Miller claims that he will keep Delphi's pension promises, rather than passing them off to GM or the federal government.
[Source: The Detroit Free Press]
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