You expected them to lose a lot, but this is still a big hit. Delphi has excess capacity and costs it still needs to address. They can't be competitive building radiators in Buffalo, New York, for $65 an hour.

The concern I would have is that General Motors may have given away their bargaining chip without necessarily getting the concessions (from the UAW) they need at this point.

What you're finding in the automotive business is the products you design today affect your profitability three to four years down the road. What we are seeing today is some pretty good changes at General Motors, but nothing like that at Ford, and I think Ford is really going to be in dire straits in five to 10 years from now.

You expected them to lose a lot, but this is still a big hit. Delphi has excess capacity and costs it still needs to address. They can't be competitive building radiators in Buffalo, N.Y., for $65 an hour.

We just don't see them having the ability to turn things around.

That's a very costly program. You're paying people not to work.