SOUTHFIELD, Mich. (Jan. 16, 2008) — Federal-Mogul Corp. announced the election of Carl Icahn as its non-executive chairman of the board.
“We have very positive relations with Carl Icahn and we welcome him as non-executive chairman,” said Federal-Mogul president and CEO JosÃ&Copy; Maria Alapont.
The automotive parts supplier exited bankruptcy protection on Dec. 28, more than six years after a series of lawsuits resulting from auto parts containing asbestos sent the firm into Chapter 11.
Mr. Icahn, a 71-year-old American billionaire, financier and private equity investor with a reputation as a corporate raider, paid about $775 million for Federal-Mogul's unsecured debt.
As of 2007, Forbes magazine tabbed him the 18th richest man in America with a net worth of about $14.5 billion.
“I am very pleased that a financially strong Federal-Mogul has finally emerged from the bankruptcy process,” Mr. Icahn said. “Additionally and most importantly, Federal-Mogul will no longer be hampered by asbestos litigation. I wish to thank and congratulate all those who have worked with me throughout the last six years to accomplish this.”
Federal-Mogul was founded in Detroit in 1899 and is a global supplier of parts for consumer, light commercial, heavy-duty, agricultural, marine, rail, off-the-road and industrial vehicles.