On Nov. 9, Dana Corp., as part of its plans to emerge from bankruptcy as a "financially viable" company, announced proposed cost reductions, including decreasing retiree health and welfare costs.

Assets in Dana's pension plans are protected by federal law. Dana is in compliance with the contribution requirements of ERISA and IRS regulations, and expects to continue to make all required pension contributions, according to Dana Corp. Any planned merger of pension plans will not affect the design or calculation of benefits under the individual plans, and will not impact the payment of benefits to retirees.

In July, Dana asked the bankruptcy court to appoint a committee of retired employees to provided non-union retirees with representation as the bankruptcy process moves forward. The committee was formed in October. Dana currently is engaged in dialogue with the committee concerning the elimination of retiree welfare benefits, including health and life insurance, in their current form. Similarly, Dana has started discussions with the unions representing individuals who retired under collective bargaining agreements. Dana said it "simply cannot ensure its long-term survival without taking this step."

As a result, Dana will seek an agreement with the Retiree Committee and the unions to eliminate company-paid retiree welfare benefits. If these negotiations do not lead to an agreement, the bankruptcy judge will make a decision on these benefits.

For more information about the bankruptcy process, visit www.dana.com/reorganization Non-union retirees may visit the Web site set up by the Retiree Committee at www.danaretiree.com Individuals who retired under a union contract should contact the union that represented them while they were employed. [[In-content Ad]]