Lear to Buy ITT Industries Seating Unit

Lear Corp. said it agreed to buy ITT Industries Inc.’s North American seat subsystems unit, which makes power seat adjusters and power recliners. The companies didn’t disclose the exact price, but spokesmen for both said a price of less than $40 million is “in the ballpark.” The seat subsystem unit of Auburn Hills, Mich.-based ITT Automotive had sales of $200 million last year. It employs 1,000 people at four plants in Michigan and Ontario, Canada. John Peisner, director of investor relations for Southfield, Mich.-based Lear, said buying the business expands Lear’s technical expertise and will help it reduce costs by engineering a seat’s frame and mechanical components simultaneously. “This is an opportunity to cross-pollinate the two businesses, to get the best out of both,” he said. Lear shares fell $1.13 to close at $46.38 on the NYSE. Shares of White Plains, N.Y.-based ITT Industries rose 56 cents to close at $29.69 on the NYSE.