Delphi to end salaried retiree health benefits

Troubled auto parts maker Delphi Corp's (DPHIQ.PK) said its value had deteriorated more than expected in recent months amid a steep slump in the auto sector and it has sought U.S. Bankruptcy Court permission to eliminate health care benefits for 15,000 salaried retirees.

In a stark example of the rapid deterioration in the auto industry, Delphi warned in court filings that the value of its business "will be substantially below" the $6.3 billion it had estimated as a worst case scenario in October.

Delphi, which filed for bankruptcy protection in New York in 2005, said in papers filed on Wednesday it could save more than $70 million per year by cutting the salaried retiree health care programs...

Reuters: Delphi to end salaried retiree health benefits