Dana on Wednesday reportedly said it would consolidate its North American thermal products group operations by mid-2006, closing three facilities that employ 200 workers.

The restructuring is expected to reduce operating and overhead costs and strengthen competitiveness, with charges related to the closures immaterial, Dana said, according to Reuters. It expects to place some of the displaced workers at other facilities.

"This consolidation is difficult, but necessary to strengthening the market position of our thermal products group, which we consider a core Dana business," Chairman and Chief Executive Michael Burns said in a statement cited by the news agency.

The plants reportedly produce engine oil coolers, transmission and power steering fluid coolers and small radiators for passenger cars, heavy duty trucks and all-terrain vehicles.

Reuters noted that, in October, the struggling parts supplier said it would shed businesses, and cut up to 5% of its salaried workers, to focus on light and heavy vehicle drivetrain products, structures, sealing and thermal products.

Under the plan announced on Wednesday, Dana plans to close facilities in Danville, Indiana, Sheffield, Pennsylvania, and Burlington, Ontario, and shift production to plants in St. Clair, Michigan, and Cambridge, Ontario, the report added.