The Herald Bulletin

Morning Update

Local Business

July 28, 2010

Delphi to phase out Kokomo operations

GM expected to switch suppliers

KOKOMO, Ind. — Delphi Automotive Systems LLC plans to phase out its Kokomo operations in 2012, according to Inside Indiana Business.

UAW Region 3 Director Mo Davison said the move is necessary because Delphi's largest customer, General Motors Corp., plans to change suppliers.

Delphi currently employs more than 1,300 hourly and salaried workers in Howard County. Davison says the UAW will likely challenge the move as a violation of existing agreements.

However, a story by the Kokomo Tribune on its website Wednesday reported that Delphi Automotive Systems LLC says it will not close any of its operations in Kokomo.

“Delphi has no announcements, Delphi isn’t closing anything,” said company spokeswoman Linda Ferries.

Ferries was responding to reports posted this afternoon on Inside INdiana Business’ website. She said the reported information is incorrect.

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