$205 million brake job

ITT Industries is to sell off its automotive brake & fuel tubing and components business to Cooper-Standard Automotive for $205 million.


ITT Industries is to sell off its automotive brake & fuel tubing and components business to Cooper-Standard Automotive, a privately-held company, for $205 million in cash.


The business, one of the top global manufacturers of steel and plastic tubing for fuel and brake lines and quick-connects, serves the transportation industry with reported 2004 revenues of $437 million.


Both parties expect to finalise the transaction in the first quarter of 2006, subject to customary closing conditions and regulatory approval.


“This transaction is consistent with our strategy of focusing ITT’s assets and attention on our core businesses, such as advanced water treatment, water and wastewater solutions, space, defence electronics, systems and services, and leisure marine,” said Steve Loranger, Chairman, President and Chief Executive Officer of ITT Industries.


ITT’s auto tubing business employs approximately 3,500 people in seven countries, with major manufacturing sites in the US, Canada, Mexico, Germany, France and the Czech Republic.


Loranger said the company is also reviewing its businesses within the Electronic Components group to determine which businesses are consistent with ITT’s long-term financial objectives.