Note 2 - Discontinued Operations

6 Months Ended

Jun. 30, 2025

Discontinued Operations, Disposed of by Sale [Member]

Disposal Groups, Including Discontinued Operations, Disclosure [Text Block]

Note 2. Discontinued Operations

In June 2025, we entered into a definitive agreement to sell our Off-Highway business to Allison Transmission Holdings, Inc. (Allison) for $2,732. The sale price is subject to adjustment based on net working capital and net indebtedness balances as of the closing date. The transaction is currently expected to close during the fourth quarter of 2025, subject to satisfaction of regulatory approvals and other customary conditions.

At closing of the transaction, Dana will enter into a transition services agreement, engineering services agreement, intellectual property and trademark license agreements, and certain supply agreements with Allison. Services to be provided by Dana under the transition services agreement include finance, information technology, human resources and certain other administrative services for periods up to 24 months.

The major classes of line items included in net income from discontinued operations are as follows:

	Three Months Ended					Six Months Ended
	June 30,					June 30,
	2025			2024		2025			2024
Net sales	$	663		$	726	$	1,263		$	1,484
Cost of sales		542			588		1,039			1,214
Selling, general and administrative expenses		28			24		55			49
Amortization of intangibles		1			2		2			3
Restructuring charges, net		(1	)		1		2			1
Other income (expense), net		(18	)		6		(25	)		8
Earnings from discontinued operations before interest and income taxes		75			117		140			225
Interest income		1			1		2			2
Earnings from discontinued operations before income taxes		76			118		142			227
Income tax expense		33			41		52			85
Net income from discontinued operations	$	43		$	77	$	90		$	142

During the three and six months ended June 2025, we incurred $14 and $34, respectively, of Off-Highway business divestiture transaction related costs. These costs were attributed to discontinued operations and included in other income (expense), net in the table above.

The carrying amounts of the major classes of assets and liabilities of our Off-Highway business are as follows:

	June 30,		December 31,
	2025		2024
Accounts receivable - Trade	$	411	$	305
Accounts receivable - Other		39		41
Inventories		557		500
Other current assets		83		58
Current assets of disposal group held for sale	$	1,090	$	904

Goodwill	$	276	$	250
Intangibles		72		70
Deferred tax assets		91		64
Other noncurrent assets		53		71
Operating lease assets		44		35
Property, plant and equipment, net		445		383
Noncurrent assets of disposal group held for sale	$	981	$	873

Current portion of long-term debt	$	1	$	—
Accounts payable		481		402
Accrued payroll and employee benefits		83		60
Taxes on income		11
Current portion of operating lease liabilities		9		9
Other accrued liabilities		168		153
Current liabilities of disposal group held for sale	$	753	$	624

Long-term debt	$	32	$	2
Noncurrent operating lease liabilities		34		25
Pension and postretirement obligations		65		62
Other noncurrent liabilities		73		94
Noncurrent liabilities of disposal group held for sale	$	204	$	183