ArvinMeritor Posts 2Q Loss

Components maker ArvinMeritor Inc. said Tuesday it lost $94 million or $1.34 per share for its fiscal second quarter, compared with earning $45 million or 65 cents a year ago.

Sales for the quarter ended March 31 held at about $1.6 billion.

Its loss from continuing operations was 13 million or 19 cents a share, compared with earnings of $32 million or 46 cents a year ago.

The company also said it was freezing its pension plan for salaried and non-union employees, effective Jan. 1, 2008. After that date, it will instead make additional contributions to a combined savings plan. The changes will affect about 3,800 employees.

ArvinMeritor adjusted upward its sales from continuing operations for fiscal year 2007 to $6 billion to $6.2 billion, from a previous range of $5.9 billion to $6.1 billion, but said its earnings from continuing operations would be 70 to 80 cents per share, down from a previous $1 to $1.10 forecast.

ArvinMeritor projected in February that it would take a second-quarter loss, based on the sale of its emissions unit last year.