July 26, 2008

Federal-Mogul Reports Profits of $90M

U.S. auto parts supplier Federal-Mogul Corp. has bounced back from Chapter 11 bankruptcy protection, reporting profits of $90 million, records show.

Federal-Mogul reported $2 billion in revenue from April to June as the supplier worked to increase business with European manufacturers, U.S. after-market business and other developing auto markets, the Detroit Free Press reported Friday.

The Michigan company reported earnings of 90 cents per share, or $90 million, a significant increase from the $4 million it reported last year at the same time.

Federal-Mogul reported all-time high second-quarter revenue with an 11 percent increase to $2 billion, the newspaper said.

The Free Press noted the company came out of Chapter 11 bankruptcy protection in December.

It is reported Federal-Mogul spent at least six years attempting to resolve asbestos lawsuits deriving from previous acquisitions the company carried out.