The largest U.S. supplier of parts for the automotive industry has filed for bankruptcy protection.
Delphi Corporation filed a motion with the federal bankruptcy court in New York Saturday to reorganize its U.S. operations. Delphi, which split off from its former parent, General Motors, six years ago, recently failed to win financial concessions from unions.
The company's chairman and chief executive officer, Robert Miller, told the Associated Press he hopes Delphi can emerge from bankruptcy protection within two years. He said the firm will continue to negotiate with General Motors and its unions to lower labor costs.
Delphi lost nearly $5 billion in 2004 and $750 million in the first half of this year. It has a reported debt load of $6 billion.