Dana Settles With Supplier

Law360, New York (June 9, 2006, 12:00 AM EDT) -- Despite the objections of creditors, auto parts maker Dana Corp. has reached a settlement with supplier Toledo Press Co. in a dispute over equipment and shipping charges.

A U.S. bankruptcy court has ruled that Dana can pay Toldeo Press Co. $200,000 in shipping charges, and in exchange, the company will install equipment that had been purchased by Dana.

Dana’s creditors objected to the settlement, calling it “inherently unreasonable.” Creditors also argued that Toledo does not actually have a claim to the funds.

The two companies have...
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