Federal-Mogul Corp. reported earnings results for the third quarter and nine months ended September 30, 2008. For the quarter, the company reported net income was $3.6 million or $0.04 per diluted share on net sales of $1,692.0 million against the net income of $13.7 million or $0.15 per diluted share on net sales of $1,685.5 million for the same period last year. Favorable foreign currency exchange lifted sales by $65 million in Europe and offset volume declines occurring largely in North America, while Asia-Pacific and other markets continued to perform. For the nine months, the company reported net income was $61.7 million or $0.62 per diluted share on net sales of $5,546.4 million against the net income of $22.2 million or $0.24 per diluted share on net sales of $5,165.4 million for the same period last year.

Federal-Mogul Corp., Q3 2008 Earnings Calls, Oct-22-2008

Federal-Mogul Corp. announced a restructuring plan designed to improve operating performance and respond to increasingly challenging conditions in the global automotive market. The plan, when combined with other workforce adjustments, is expected to reduce the company's global workforce by approximately 4,000 positions or 8%. The planned actions are expected to occur as a result of several initiatives designed to streamline business processes, consolidate or close selected locations, and reduce general and administrative staffing. The company is not disclosing the specific sites at this time, pending further evaluation and consultations with appropriate parties. The restructuring initiatives will begin during September 2008 and continue into 2009 with several phases of implementation. Preliminary cost estimates of the restructuring program are in the range of $60-$80 million through the end of 2009.