Federal-Mogul’s powertrain segment focuses on original equipment products for automotive, heavy duty and industrial applications, while the vehicle components segment sells and distributes products in the global vehicle aftermarket. The latter serves original equipment manufacturers with vehicle products, including brake friction, chassis, wipers and other vehicle components. According to Rainer Jueckstock, co-CEO, Federal-Mogul and CEO F-M powertrain segment, the announcement is the fulfilment of the direction established by the company’s board of directors in March 2012--that is, to focus the business on the unique needs of customers who buy original equipment powertrain products, or aftermarket and vehicle components. The two operating segments will continue to be divisions of Federal-Mogul Corporation and continue to use the FDML stock symbol,he added. Michael Broderick, co-CEO, Federal-Mogul and CEO vehicle components segment, said the new organisational model allows for a strong product line focus benefitting both original equipment and aftermarket customers. He added that it wll also "enable the global Federal-Mogul teams to be responsive to customers’ needs for superior products and to promote greater identification with Federal-Mogul premium brands." The operational segmentation became effective on September 1, 2012, and future financial reporting of Federal-Mogul operating results will be based on this new two-segment structure.
