Parts supplier Lear posts big loss

Lear Corp., the world's leading supplier of automotive interior systems, posted a third quarter loss of $750 million Wednesday. In the third quarter of 2004, the U.S.-based parts supplier reported a profit of $91.7 million. Much of the third quarter loss is due to restructuring costs, as the company tries to lower costs and match output to the falling demand from U.S. automakers.
Lear also warned that fourth quarter earnings will be well below analysts expectations. Most of the bad news was already priced into the stock, which closed Wednesday down about 1 percent.

The company is pursuing a similar restructuring path to Visteon and Delphi, including job cuts and a shift of some production to lower-cost labor markets.