Dana Holding Corporation Reaches Settlement with Toyota

Dana Holding Corporation DAN announced today that it has reached a settlement with Toyota Motor Engineering & Manufacturing North America, Inc., for warranty claims related to frames produced by the company's former Structural Products business. Under terms of the agreement, Dana will make a one-time payment of $25 million to Toyota in connection with corrosion on frames produced for certain Tacoma pickup trucks that were subject to a customer support program initiated by Toyota in 2008. The payment will result in a $25 million charge to Dana's fourth-quarter 2010 earnings. Dana substantially divested its Structural Products business, including the plants that manufactured the Tacoma frames, in March 2010.