WARREN Packard sets record for wiring contracts

Business increased as automakers planned more new vehicles.
THE VINDICATOR
By DON SHILLING
VINDICATOR BUSINESS EDITOR
WARREN -- Delphi Packard Electric Systems set a record last year for booking new business contracts in wiring systems and related products.
Warren-based Packard signed $8 billion in new business worldwide last year, compared with $2.7 billion in new business in 2002.
Plenty of new business was available last year because of the many new vehicles that automakers are planning, said Doug Hoy, a company spokesman.
Warren-based Packard also has been pricing its products to make them attractive, he said. Competitive pressures worldwide are holding prices down, he said.
"We're looking for creative ways to drive out cost and drive out waste so we can bid competitively," he said.
The record bookings came in Packard's electrical and electronic distributions systems unit, which includes wiring systems and related components. Packard also makes connectors and switches.
Trust
Paul Miller, Packard's business line executive for the wiring business, said the record bookings show the trust that automakers have in Packard's ability to meet their wiring needs.
He said Packard has been able to meet customers' needs with engineering and design centers in various regions around the world and by assembling parts near customers' plants in order to meet just-in-time delivery requirements.
Packard said new wiring business was signed with nearly every major vehicle manufacturer worldwide. The record total also included business signed with other suppliers.
Packard didn't release how much of the new business was in North America, although Hoy said it was worth several billion dollars.
General Motors
Just under 60 percent of Packard's business is with General Motors Corp.
New contracts cover vehicles that are being assembled from this year to 2012, with most of the assembly occurring from 2007 to 2011.
In the meantime, Packard workers will be working with automakers to design the systems.
This year, Packard will look for more orders in Asia and will be more aggressive in expanding in other transportation industries, Miller said.
Packard is a division of Delphi Corp., which is based in Troy, Mich., and is the world's largest auto parts maker.
Packard employs about 5,600 hourly and salaried workers in the Mahoning Valley and about 85,000 around the world.
shilling@vindy.com