WRAPUP 1-Pressure mounts on U.S. auto parts makers, dealers

* Visteon expects going concern notice, Dana posts Q4 loss
* Noble seeks short-term support from Detroit 3
* Asbury posts loss, receives going concern notice
* Lithia posts Q4 loss, Sonic may get 'going concern' notice

By David Bailey and Nick Carey
DETROIT, March 16 (Reuters) - The pressure on U.S. auto parts
makers and dealerships mounted on Monday with more posting steep
losses, while auditors either expressed doubt over the ability of
some to survive or were expected to do so soon.
U.S. auto parts suppliers and dealerships face growing
financial strains amid the downturn in auto sales that has monthly
sales rates fall to the lowest level in 27 years.
For parts makers, deep production cuts by automaker customers
in recent months have severely crimped revenue, while dealership
groups are stymied by cash-draining inventory and few signs that
U.S. auto sales will pick up any time soon.
Among the parts suppliers, Visteon Corp said it
expects its auditors to question its ability to continue as a
going concern, Noble International Ltd said it was
seeking short-term funding from automakers and Dana Holding Corp
posted a $256 million fourth-quarter net loss.
Visteon said a "going concern" notice could trigger a default
and it was in discussions with creditors on a waiver for its
credit facilities. [nN16528321]
Noble said without further help from General Motors Corp
, Ford Motor Co , Chrysler and Comerica Inc it
is unlikely it will be able to maintain operations to March 23.
[nN16538809]
Dana said it expects to trim the workforce to about 24,000 by
the end of March from roughly 25,000 now, and make further
reductions the rest of 2009, according to its annual report filed
on Monday. Dana cut about 6,000 positions in 2008.
"We believe we are taking the difficult actions necessary to
survive in the current environment and compete over the long
term," Dana Chief Executive John Devine said in a statement.
"There can be no assurances, however, if the global economy
deteriorates substantially beyond our planning assumptions."
Dealerships also racked up losses.
Asbury Automotive Group Inc posted a $365.4 million
fourth-quarter net loss and its auditors raised doubt about its
ability to continue as a going concern. [nN16505559]
Lithia Motors Inc posted a $4.2 million fourth-quarter
loss [nN16507775], while Sonic Automotive sought an extension
to file its annual report and was assessing whether it would be in
compliance with its debt covenants through the end of 2009.
[nWNAB4559]
Sonic said its public accountant recently said it would have
to consider including a 'going concern' notice.
Auditors for American Axle & Manufacturing Holdings Inc
have warned that the problems at top customers GM and
Chrysler threatened its ability to continue as a going concern.
Lear Corp also expects a "going concern" notice.
Keywords: AUTOS/SUPPLIERS DEALERS

(Reporting by David Bailey, Nick Carey and Poornima Gupta;
Editing by Phil Berlowitz)
((david.bailey@thomsonreuters.com; +1 313 967 1910; Reuters
Messaging: david.bailey.reuters.com@reuters.net))
Keywords: AUTOS/SUPPLIERS DEALERS

(C) Reuters 2009. All rights reserved. Republication or redistribution of
Reuters content, including by caching, framing or similar means, is expressly
prohibited without the prior written consent of Reuters. Reuters and the Reuters
sphere logo are registered trademarks and trademarks of the Reuters group of
companies around the world.

nN16544623