Sunday, October 9, 2005

Timeline: Delphi's history

Michael Heinz / Associated Press Kyle Amburgey joins his dad, Tony, on the picket line in March 1996. The 17-day strike in Dayton, Ohio, cost GM $1 billion. Jerry S. Mendoza / Associated Press UAW President Ron Gettelfinger, left, and Delphi's then-CEO J.T. Battenberg talk after signing a new labor deal in 2003. Comment on this story Send this story to a friend Get Home Delivery

Delphi, the world's second-biggest auto parts maker, has been a publicly traded company for six years, and its roots go back to 1888 when the New Departure Bell Co. was formed to produce the first doorbell ringing device. The company has used the name Delphi for 10 years. Its storied history parallels that of General Motors Corp., its former owner, and includes innovations such as the dashboard radio, interior lighting, rack-and-pinion steering and air bag restraint systems. Here's a closer look at key events that helped bring about Delphi.

1988: GM creates ACG Worldwide to bring all of its components divisions under one unit.

1991: GM takes additional steps to restructure its automotive parts subsidiaries -- Saginaw Steering, Harrison Thermal, Packard Electric, AC Delco and others -- into a separate business group. J.T. Battenberg III, a GM manufacturing veteran, is named to head the group.

1994: After consolidating and shedding dozens of supply operations, GM forms Automotive Components Group.

1995: ACG is renamed Delphi Automotive Systems.

1996: A 17-day strike at two GM brake plants in Dayton, Ohio, shuts down production in North America, costing GM nearly $1 billion.

1997: GM and Hughes Electronics Corp. announce and complete the spin-off of Hughes Defense electronics business, followed by the merger of that business with Raytheon and the transfer of Delco Electronics from Hughes to Delphi.

1998: UAW strikes two key Delphi and GM plants in Flint. GM North American vehicle production is shut down for two months.

• GM announces Delphi will become a fully independent, publicly traded company during 1999.

1999: Delphi Automotive Systems becomes a publicly held corporation on Feb. 25 -- becoming America's 36th largest business overnight. On May 28, Delphi becomes independent of GM. Delphi begins paying cash dividend of 7 cents a share a quarter.

2002: Delphi Automotive Systems is renamed Delphi Corp. to reflect growing nonautomotive business, including medical equipment.

2003: GM, Delphi and United Auto Workers sign new four-year deal that keeps Delphi under master wage and benefit contracts through 2007.

2004: Delphi and UAW reach seven-year deal to pay new hires permanently lower wages and benefits. The company is subpoenaed by the Securities & Exchange Commission in July regarding irregular accounting practices and financial transactions.

2005: Delphi discloses irregular accounting practices have overstated cash flow in previous years. Key financial executives, including CFO Alan Dawes, resign.

Delphi Chairman J.T. Battenberg III retires and is replaced by Robert S. (Steve) Miller, a turnaround expert. Annual cash dividend is reduced from 28 cents a share to 8 cents a share.

Oct. 2005: Delphi files to reorganize its struggling U.S. operations under Chapter 11 bankruptcy protection. A new chief financial officer, Robert Dellinger, former CFO at Sprint Corp., is named.

Sources: Delphi, GM, Detroit News research