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UNITED STATES


SECURITIES AND EXCHANGE COMMISSION


WASHINGTON, DC 20549-1004


FORM 10-Q/A


(Amendment No. 1)




|  | 
|- | 
|þ | 

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)


OF THE SECURITIES EXCHANGE ACT OF 1934


For the quarterly period ended March 31, 2004


OR




|  | 
|- | 
|o | 

TRANSITION REPORT PURSUANT TO SECTION 13


OF THE SECURITIES EXCHANGE ACT OF 1934


For the transition period from

to
.


Commission file No. 1-14787


DELPHI CORPORATION




|                                                                                                                                                    |  |                                                              
|--------------------------------------------------------------------------------------------------------------------------------------------------- |  | -------------------------------------------------------------
|Delaware(State or other jurisdiction of
    incorporation or organization)5725 Delphi Drive, Troy, Michigan(Address of principal executive offices) |  | 38-3430473(IRS employer identification number)48098(Zip code)

(248) 813-2000




o þ


þ o












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##### Table of Contents



Explanatory Note








2



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DELPHI CORPORATION


INDEX


|                                                     |  |                                                                                              |    |      |    | 
|---------------------------------------------------- |  | -------------------------------------------------------------------------------------------- | -- | ---- | -- | 
|                                                     |  |                                                                                              |    | Page |   
|                                                     |  |                                                                                              |    |      |   
|Part I  Financial
    Information                  
|Item 1.                                              |  | Financial Statements (Unaudited)                                                             |    |      |    | 
|                                                     |  | Consolidated Statements of Income for the
    Three Months Ended March 31, 2004 and 2003     |    |      | 4  | 
|                                                     |  | Consolidated Balance Sheets at
    March 31, 2004 and December 31, 2003                      |    |      | 5  | 
|                                                     |  | Consolidated Statements of Cash Flows for
    the Three Months Ended March 31, 2004 and 2003 |    |      | 6  | 
|                                                     |  | Notes to Consolidated Financial
    Statements                                               |    |      | 7  | 
|Item 2.                                              |  | Managements Discussion and Analysis
    of Financial Condition and Results of Operations    |    |      | 22 | 
|Item 3.                                              |  | Quantitative and Qualitative Disclosures
    About Market Risk                               |    |      | 30 | 
|Item 4.                                              |  | Controls and Procedures                                                                      |    |      | 30 | 
|Part II  Other
    Information                     
|Item 1.                                              |  | Legal Proceedings                                                                            |    |      | 32 | 
|Item 6.                                              |  | Exhibits and Reports on Form 8-K                                                             |    |      | 32 | 
|Signature                                            |  |                                                                                              | 33 |     
|Section 302 Certification of Chief Executive Officer
|Section 302 Certification of Chief Financial Officer
|Section 906 Certification of Chief Executive Officer
|Section 906 Certification of Chief Financial Officer



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##### Table of Contents






PART I. FINANCIAL INFORMATION





ITEM 1. FINANCIAL STATEMENTS


DELPHI CORPORATION





CONSOLIDATED STATEMENTS OF INCOME (Unaudited)


|                                                                 |                                             |                          |     |       |              |   |     |       |       | 
|---------------------------------------------------------------- | ------------------------------------------- | ------------------------ | --- | ----- | ------------ | - | --- | ----- | ----- | 
|                                                                 |                                             | Three Months Ended       |    
|                                                                 |                                             | March 31,                |    
|                                                                 |                                             |                          |    
|                                                                 |                                             | 2004                     |     |       | 2003         |  
|                                                                 |                                             |                          |     |       |              |  
|                                                                 |                                             | (As Restated             |     |       | (As Restated |  
|                                                                 |                                             | See Note 2)              |     |       | See Note 2)  |  
|                                                                 |                                             | (in millions, except     |    
|                                                                 |                                             | per share amounts)       |    
|Net sales:                                                       |                                             |                          |     |       |              |   |     |      
|                                                                 | General Motors and affiliates               |                          | $   | 4,189 |              |   | $   | 4,555 |      
|                                                                 | Other customers                             |                          |     | 3,216 |              |   |     | 2,622 |      
|                                                                 |                                             |                          |     |       |              |  
|                                                                 |                                             | Total net sales          |     |       | 7,405        |   |     |       | 7,177 | 
|                                                                 |                                             |                          |     |       |              |  
|Operating expenses:                                              |                                             |                          |     |       |              |   |     |      
|                                                                 | Cost of sales, excluding items listed below |                          |     | 6,564 |              |   |     | 6,321 |      
|                                                                 | Selling, general and administrative         |                          |     | 378   |              |   |     | 363   |      
|                                                                 | Depreciation and amortization               |                          |     | 282   |              |   |     | 255   |      
|                                                                 | Employee and product line charges           |                          |     | 38    |              |   |     |      |      
|                                                                 |                                             |                          |     |       |              |  
|                                                                 |                                             | Total operating expenses |     |       | 7,262        |   |     |       | 6,939 | 
|                                                                 |                                             |                          |     |       |              |  
|Operating income                                                 |                                             |                          | 143 |       |              |   | 238 |      
|                                                                 | Interest expense                            |                          |     | (62   | )            |   |     | (48   | )    
|                                                                 | Other income (expense), net                 |                          |     | (6    | )            |   |     | (4    | )    
|                                                                 |                                             |                          |     |       |              |  
|Income before income taxes, minority interest, and equity income |                                             |                          | 75  |       |              |   | 186 |      
|                                                                 | Income tax expense                          |                          |     | (23   | )            |   |     | (66   | )    
|                                                                 | Minority interest, net of tax               |                          |     | (11   | )            |   |     | (11   | )    
|                                                                 | Equity income                               |                          |     | 22    |              |   |     | 15    |      
|                                                                 |                                             |                          |     |       |              |  
|Net income                                                       |                                             | $                        | 63  |       |              | $ | 124 |      
|                                                                 |                                             |                          |     |       |              |  
|Earnings per share                                               |                                             |                          |     |       |              |   |     |      
|                                                                 | Basic and diluted                           |                          | $   | 0.11  |              |   | $   | 0.22  |      
|                                                                 |                                             |                          |     |       |              |  



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DELPHI CORPORATION





CONSOLIDATED BALANCE SHEETS


|                                           |                                                                                                                |                                                   |        |        |              |   |        |        |        | 
|------------------------------------------ | -------------------------------------------------------------------------------------------------------------- | ------------------------------------------------- | ------ | ------ | ------------ | - | ------ | ------ | ------ | 
|                                           |                                                                                                                | March 31,                                         |        |        |             
|                                           |                                                                                                                | 2004                                              |        |        | December 31, |  
|                                           |                                                                                                                | (Unaudited)                                       |        |        | 2003         |  
|                                           |                                                                                                                |                                                   |        |        |              |  
|                                           |                                                                                                                | (As Restated                                      |        |        | (As Restated |  
|                                           |                                                                                                                | See Note 2)                                       |        |        | See Note 2)  |  
|                                           |                                                                                                                | (in millions)                                     |       
|ASSETS                                    
|Current assets:                            |                                                                                                                |                                                   |        |        |              |   |        |       
|                                           | Cash and cash equivalents                                                                                      |                                                   | $      | 829    |              |   | $      | 893    |       
|                                           | Accounts receivable, net:                                                                                      |                                                   |        |        |              |   |        |        |       
|                                           |                                                                                                                | General Motors and affiliates                     |        |        | 2,706        |   |        |        | 2,327  | 
|                                           |                                                                                                                | Other customers                                   |        |        | 1,632        |   |        |        | 1,501  | 
|                                           | Retained interest in receivables, net                                                                          |                                                   |        | 893    |              |   |        | 717    |       
|                                           | Inventories, net:                                                                                              |                                                   |        |        |              |   |        |        |       
|                                           |                                                                                                                | Productive material, work-in-process and supplies |        |        | 1,394        |   |        |        | 1,318  | 
|                                           |                                                                                                                | Finished goods                                    |        |        | 469          |   |        |        | 478    | 
|                                           | Deferred income taxes                                                                                          |                                                   |        | 374    |              |   |        | 367    |       
|                                           | Prepaid expenses and other                                                                                     |                                                   |        | 287    |              |   |        | 269    |       
|                                           |                                                                                                                |                                                   |        |        |              |  
|                                           |                                                                                                                | Total current assets                              |        |        | 8,584        |   |        |        | 7,870  | 
|Long-term assets:                          |                                                                                                                |                                                   |        |        |              |   |        |       
|                                           | Property, net                                                                                                  |                                                   |        | 6,276  |              |   |        | 6,399  |       
|                                           | Deferred income taxes                                                                                          |                                                   |        | 4,037  |              |   |        | 3,961  |       
|                                           | Goodwill                                                                                                       |                                                   |        | 770    |              |   |        | 773    |       
|                                           | Other intangible assets                                                                                        |                                                   |        | 68     |              |   |        | 81     |       
|                                           | Pension intangible assets                                                                                      |                                                   |        | 1,167  |              |   |        | 1,167  |       
|                                           | Other                                                                                                          |                                                   |        | 826    |              |   |        | 815    |       
|                                           |                                                                                                                |                                                   |        |        |              |  
|                                           |                                                                                                                | Total assets                                      |        | $      | 21,728       |   |        | $      | 21,066 | 
|                                           |                                                                                                                |                                                   |        |        |              |  
|LIABILITIES AND STOCKHOLDERS EQUITY      
|Current liabilities:                       |                                                                                                                |                                                   |        |        |              |   |        |       
|                                           | Notes payable and current portion of long-term debt                                                            |                                                   | $      | 1,114  |              |   | $      | 892    |       
|                                           | Accounts payable                                                                                               |                                                   |        | 3,308  |              |   |        | 3,133  |       
|                                           | Accrued liabilities                                                                                            |                                                   |        | 3,010  |              |   |        | 2,684  |       
|                                           |                                                                                                                |                                                   |        |        |              |  
|                                           |                                                                                                                | Total current liabilities                         |        |        | 7,432        |   |        |        | 6,709  | 
|Long-term liabilities:                     |                                                                                                                |                                                   |        |        |              |   |        |       
|                                           | Long-term debt                                                                                                 |                                                   |        | 2,074  |              |   |        | 2,152  |       
|                                           | Junior subordinated notes due to Delphi Trust I and II                                                         |                                                   |        | 412    |              |   |        | 412    |       
|                                           | Pension benefits                                                                                               |                                                   |        | 3,403  |              |   |        | 3,577  |       
|                                           | Postretirement benefits other than pensions                                                                    |                                                   |        | 5,869  |              |   |        | 5,697  |       
|                                           | Other                                                                                                          |                                                   |        | 884    |              |   |        | 905    |       
|                                           |                                                                                                                |                                                   |        |        |              |  
|                                           |                                                                                                                | Total liabilities                                 |        |        | 20,074       |   |        |        | 19,452 | 
|                                           |                                                                                                                |                                                   |        |        |              |  
|Commitments and contingencies (Note 10)    |                                                                                                                |                                                   |        |        |              |   |        |       
|Minority interest                          |                                                                                                                |                                                   | 183    |        |              |   | 168    |       
|Stockholders equity:                      |                                                                                                                |                                                   |        |        |              |   |        |       
|                                           | Common stock, $0.01 par value, 1,350 million shares
    authorized, 565 million shares issued in 2004 and 2003 |                                                   |        | 6      |              |   |        | 6      |       
|                                           | Additional paid-in capital                                                                                     |                                                   |        | 2,663  |              |   |        | 2,660  |       
|                                           | Retained earnings                                                                                              |                                                   |        | 1,021  |              |   |        | 997    |       
|                                           | Minimum pension liability                                                                                      |                                                   |        | (2,006 | )            |   |        | (2,006 | )     
|                                           | Accumulated other comprehensive loss, excluding minimum pension
    liability                                  |                                                   |        | (138   | )            |   |        | (136   | )     
|                                           | Treasury stock, at cost (4.7 million shares in 2004 and
    2003)                                              |                                                   |        | (75    | )            |   |        | (75    | )     
|                                           |                                                                                                                |                                                   |        |        |              |  
|                                           |                                                                                                                | Total stockholders equity                        |        |        | 1,471        |   |        |        | 1,446  | 
|                                           |                                                                                                                |                                                   |        |        |              |  
|Total liabilities and stockholders equity |                                                                                                                | $                                                 | 21,728 |        |              | $ | 21,066 |       
|                                           |                                                                                                                |                                                   |        |        |              |  



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DELPHI CORPORATION





CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)


|                                                                  |                                                                                         |                                                               |                                                     |      |              |      |      |       |      |      |  
|----------------------------------------------------------------- | --------------------------------------------------------------------------------------- | ------------------------------------------------------------- | --------------------------------------------------- | ---- | ------------ | ---- | ---- | ----- | ---- | ---- | -
|                                                                  |                                                                                         | Three Months Ended                                            |                                                    
|                                                                  |                                                                                         | March 31,                                                     |                                                    
|                                                                  |                                                                                         |                                                               |                                                    
|                                                                  |                                                                                         | 2004                                                          |                                                     |      | 2003         |     
|                                                                  |                                                                                         |                                                               |                                                     |      |              |     
|                                                                  |                                                                                         | (As Restated                                                  |                                                     |      | (As Restated |     
|                                                                  |                                                                                         | See Note 2)                                                   |                                                     |      | See Note 2)  |     
|                                                                  |                                                                                         | (in millions)                                                 |                                                    
|Cash flows from operating activities:                             |                                                                                         |                                                               |                                                     |      |              |      |      |      
|                                                                  | Net income                                                                              |                                                               | $                                                   | 63   |              |      | $    | 124   |     
|                                                                  | Adjustments to reconcile net income to net cash provided by
    operating activities:   |                                                               |                                                     |      |              |      |      |       |     
|                                                                  |                                                                                         | Depreciation and amortization                                 |                                                     |      | 282          |      |      |       | 255  |     
|                                                                  |                                                                                         | Deferred income taxes                                         |                                                     |      | (84          | )    |      |       | 45   |     
|                                                                  |                                                                                         | Employee and product line charges                             |                                                     |      | 38           |      |      |       |     |     
|                                                                  |                                                                                         | Equity income                                                 |                                                     |      | (22          | )    |      |       | (15  | )   
|                                                                  | Changes in operating assets and liabilities:                                            |                                                               |                                                     |      |              |      |      |       |     
|                                                                  |                                                                                         | Accounts receivable and retained interest in receivables, net |                                                     |      | (686         | )    |      |       | (450 | )   
|                                                                  |                                                                                         | Inventories, net                                              |                                                     |      | (67          | )    |      |       | (3   | )   
|                                                                  |                                                                                         | Prepaid expenses and other                                    |                                                     |      | 7            |      |      |       | 48   |     
|                                                                  |                                                                                         | Accounts payable                                              |                                                     |      | 175          |      |      |       | 143  |     
|                                                                  |                                                                                         | Employee and product line charge obligations                  |                                                     |      | (141         | )    |      |       | (24  | )   
|                                                                  |                                                                                         | Accrued and other long-term liabilities                       |                                                     |      | 424          |      |      |       | (51  | )   
|                                                                  |                                                                                         | Other                                                         |                                                     |      | 51           |      |      |       | (40  | )   
|                                                                  |                                                                                         |                                                               |                                                     |      |              |     
|                                                                  |                                                                                         |                                                               | Net cash provided by operating activities           |      |              | 40   |      |       |      | 32   |  
|                                                                  |                                                                                         |                                                               |                                                     |      |              |     
|Cash flows from investing activities:                             |                                                                                         |                                                               |                                                     |      |              |      |      |      
|                                                                  | Capital expenditures                                                                    |                                                               |                                                     | (229 | )            |      |      | (247  | )   
|                                                                  | Proceeds from sale of property                                                          |                                                               |                                                     | 15   |              |      |      | 15    |     
|                                                                  | Other                                                                                   |                                                               |                                                     |     |              |      |      | 27    |     
|                                                                  |                                                                                         |                                                               |                                                     |      |              |     
|                                                                  |                                                                                         |                                                               | Net cash used in investing activities               |      |              | (214 | )    |       |      | (205 | )
|                                                                  |                                                                                         |                                                               |                                                     |      |              |     
|Cash flows from financing activities:                             |                                                                                         |                                                               |                                                     |      |              |      |      |      
|                                                                  | Net proceeds from (repayments of) borrowings under credit
    facilities and other debt |                                                               |                                                     | 153  |              |      |      | (42   | )   
|                                                                  | Dividend payments                                                                       |                                                               |                                                     | (39  | )            |      |      | (39   | )   
|                                                                  | Issuances of treasury stock                                                             |                                                               |                                                     |     |              |      |      | 1     |     
|                                                                  | Other                                                                                   |                                                               |                                                     | (2   | )            |      |      | (11   | )   
|                                                                  |                                                                                         |                                                               |                                                     |      |              |     
|                                                                  |                                                                                         |                                                               | Net cash provided by (used in) financing activities |      |              | 112  |      |       |      | (91  | )
|                                                                  |                                                                                         |                                                               |                                                     |      |              |     
|Effect of exchange rate fluctuations on cash and cash equivalents |                                                                                         |                                                               | (2                                                  | )    |              |      | 5    |      
|                                                                  |                                                                                         |                                                               |                                                     |      |              |     
|Decrease in cash and cash equivalents                             |                                                                                         |                                                               | (64                                                 | )    |              |      | (259 | )    
|                                                                  | Cash and cash equivalents at beginning of period                                        |                                                               |                                                     | 893  |              |      |      | 1,028 |     
|                                                                  |                                                                                         |                                                               |                                                     |      |              |     
|                                                                  | Cash and cash equivalents at end of period                                              |                                                               | $                                                   | 829  |              |      | $    | 769   |     
|                                                                  |                                                                                         |                                                               |                                                     |      |              |     



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DELPHI CORPORATION





NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)




|   |                      
|-- | ---------------------
|1. | BASIS OF PRESENTATION

General




Adoption of FSP 106-2


|                                                                  |  |                 |    |   |      |   |     | 
|----------------------------------------------------------------- |  | --------------- | -- | - | ---- | - | --- | 
|                                                                  |  | Three Months    |   
|                                                                  |  | Ended March 31, |   
|                                                                  |  |                 |   
|                                                                  |  | 2004            |    |   | 2003 |  
|                                                                  |  |                 |    |   |      |  
|                                                                  |  | (in millions)   |   
|Net income, as reported in Form 10-Q, filed on
    April 16, 2004 |  | $               | 54 |   |      | $ | 127 | 
|Effect of adoption of FSP 106-2, net                              |  |                 | (7 | ) |      |   |    | 
|                                                                  |  |                 |    |   |      |  
|Adjusted net income, prior to restatement (See Note 2)            |  | $               | 47 |   |      | $ | 127 | 
|                                                                  |  |                 |    |   |      |  

Earnings Per Share


|                                    |  |                 |         |  |      |  |         | 
|----------------------------------- |  | --------------- | ------- |  | ---- |  | ------- | 
|                                    |  | Three Months    |        
|                                    |  | Ended March 31, |        
|                                    |  |                 |        
|                                    |  | 2004            |         |  | 2003 | 
|                                    |  |                 |         |  |      | 
|                                    |  | (in thousands)  |        
|Weighted average shares outstanding |  |                 | 560,340 |  |      |  | 559,561 | 
|Effect of dilutive securities       |  |                 | 3,282   |  |      |  | 170     | 
|                                    |  |                 |         |  |      | 
|Diluted shares outstanding          |  |                 | 563,622 |  |      |  | 559,731 | 
|                                    |  |                 |         |  |      | 

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|                         |  |                 |        |  |      |  |        | 
|------------------------ |  | --------------- | ------ |  | ---- |  | ------ | 
|                         |  | Three Months    |       
|                         |  | Ended March 31, |       
|                         |  |                 |       
|                         |  | 2004            |        |  | 2003 | 
|                         |  |                 |        |  |      | 
|                         |  | (in thousands)  |       
|Anti-dilutive securities |  |                 | 73,052 |  |      |  | 84,246 | 
|                         |  |                 |        |  |      | 



Stock-Based Compensation




|                                                                                                                                            |                                 |                  |    |      |      |   |     |      | 
|------------------------------------------------------------------------------------------------------------------------------------------- | ------------------------------- | ---------------- | -- | ---- | ---- | - | --- | ---- | 
|                                                                                                                                            |                                 | Three Months     |   
|                                                                                                                                            |                                 | Ended March 31,  |   
|                                                                                                                                            |                                 |                  |   
|                                                                                                                                            |                                 | 2004             |    |      | 2003 |  
|                                                                                                                                            |                                 |                  |    |      |      |  
|                                                                                                                                            |                                 | (in millions,    |   
|                                                                                                                                            |                                 | except per share |   
|                                                                                                                                            |                                 | amounts)         |   
|Net income, as reported                                                                                                                     |                                 | $                | 63 |      |      | $ | 124 |     
|Add: Stock-based compensation expense recognized, net of related
    tax effects                                                            |                                 |                  | 2  |      |      |   | 1   |     
|Less: Total stock-based employee compensation expense determined
    under fair value method for all awards, net of related tax
    effects |                                 |                  | (4 | )    |      |   | (4  | )   
|                                                                                                                                            |                                 |                  |    |      |      |  
|Pro forma net income                                                                                                                        |                                 | $                | 61 |      |      | $ | 121 |     
|                                                                                                                                            |                                 |                  |    |      |      |  
|Earnings per share:                                                                                                                         |                                 |                  |    |      |      |   |     |     
|                                                                                                                                            | Basic and diluted  as reported |                  | $  | 0.11 |      |   | $   | 0.22 | 
|                                                                                                                                            |                                 |                  |    |      |      |  
|                                                                                                                                            | Basic and diluted  pro forma   |                  | $  | 0.11 |      |   | $   | 0.22 | 
|                                                                                                                                            |                                 |                  |    |      |      |  



Reclassifications


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|   |            
|-- | -----------
|2. | RESTATEMENT









|                                                                                        |              |                                                    |    |   |      |   |     |   |    |  
|--------------------------------------------------------------------------------------- | ------------ | -------------------------------------------------- | -- | - | ---- | - | --- | - | -- | -
|                                                                                        |              | Three Months                                       |   
|                                                                                        |              | Ended March 31,                                    |   
|                                                                                        |              |                                                    |   
|                                                                                        |              | 2004                                               |    |   | 2003 |  
|                                                                                        |              |                                                    |    |   |      |  
|                                                                                        |              | (in millions)                                      |   
|As previously reported net income, adjusted for FSP 106-2
    adoption
    (See Note 1) |              | $                                                  | 47 |   |      | $ | 127 |  
|                                                                                        | Adjustments: |                                                    |    |   |      |   |     |   |   
|                                                                                        |              | Information technology service provider rebates(a) |    |   | 3    |   |     |   | 2  |  
|                                                                                        |              | Non-IT supplier rebates(a)                         |    |   | 3    |   |     |   |   |  
|                                                                                        |              | Deferred expense recognition for IT services(b)    |    |   | 4    |   |     |   | 14 |  
|                                                                                        |              | Warranty settlements with former parent company(c) |    |   | 4    |   |     |   | (6 | )
|                                                                                        |              | Period-end accruals and out of period items(d)     |    |   | 15   |   |     |   | (5 | )
|                                                                                        |              | Other(e)                                           |    |   | (8   | ) |     |   | (8 | )
|                                                                                        |              |                                                    |    |   |      |  
|Total                                                                                   |              |                                                    | 21 |   |      |   | (3  | )
|Related tax effects                                                                     |              |                                                    | (5 | ) |      |   |    |  
|                                                                                        |              |                                                    |    |   |      |  
|Total adjustments, net of tax                                                           |              |                                                    | 16 |   |      |   | (3  | )
|                                                                                        |              |                                                    |    |   |      |  
|Net income, as restated                                                                 |              | $                                                  | 63 |   |      | $ | 124 |  
|                                                                                        |              |                                                    |    |   |      |  

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|    |                                                                        
|--- | -----------------------------------------------------------------------
|(a) | Information technology service provider and non-IT
    supplier rebates





|    |                                             
|--- | --------------------------------------------
|(b) | Deferred expense recognition for IT services





|    |                                                
|--- | -----------------------------------------------
|(c) | Warranty settlements with former parent company





|    |                                                  
|--- | -------------------------------------------------
|(d) | Period-end Accruals and Out-of-period Adjustments





|    |      
|--- | -----
|(e) | Other



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CONSOLIDATED STATEMENTS OF INCOME


|                                                                 |                                             |                          |     |       |                      |   |               |          |       |   |             |       |       |   |     |       |       | 
|---------------------------------------------------------------- | ------------------------------------------- | ------------------------ | --- | ----- | -------------------- | - | ------------- | -------- | ----- | - | ----------- | ----- | ----- | - | --- | ----- | ----- | 
|                                                                 |                                             | Three Months Ended       |     |       | Three Months Ended   |  
|                                                                 |                                             | March 31, 2004           |     |       | March 31, 2003       |  
|                                                                 |                                             |                          |     |       |                      |  
|                                                                 |                                             | As Originally            |     |       |                      |   | As Originally |          |       |  
|                                                                 |                                             | Reported(1)              |     |       | As Restated          |   |               | Reported |       |   | As Restated |      
|                                                                 |                                             |                          |     |       |                      |   |               |          |       |   |             |      
|                                                                 |                                             | (in millions, except     |     |       | (in millions, except |  
|                                                                 |                                             | per share amounts)       |     |       | per share amounts)   |  
|Net sales:                                                       |                                             |                          |     |       |                      |   |               |          |       |   |             |       |       |   |     |      
|                                                                 | General Motors and affiliates               |                          | $   | 4,190 |                      |   | $             | 4,189    |       |   | $           | 4,555 |       |   | $   | 4,555 |      
|                                                                 | Other customers                             |                          |     | 3,221 |                      |   |               | 3,216    |       |   |             | 2,627 |       |   |     | 2,622 |      
|                                                                 |                                             |                          |     |       |                      |   |               |          |       |   |             |      
|                                                                 |                                             | Total net sales          |     |       | 7,411                |   |               |          | 7,405 |   |             |       | 7,182 |   |     |       | 7,177 | 
|                                                                 |                                             |                          |     |       |                      |   |               |          |       |   |             |      
|Operating expenses:                                              |                                             |                          |     |       |                      |   |               |          |       |   |             |       |       |   |     |      
|                                                                 | Cost of sales, excluding items listed below |                          |     | 6,580 |                      |   |               | 6,564    |       |   |             | 6,312 |       |   |     | 6,321 |      
|                                                                 | Selling, general and administrative         |                          |     | 403   |                      |   |               | 378      |       |   |             | 389   |       |   |     | 363   |      
|                                                                 | Depreciation and amortization               |                          |     | 279   |                      |   |               | 282      |       |   |             | 253   |       |   |     | 255   |      
|                                                                 | Employee and product line charges           |                          |     | 38    |                      |   |               | 38       |       |   |             |      |       |   |     |      |      
|                                                                 |                                             |                          |     |       |                      |   |               |          |       |   |             |      
|                                                                 |                                             | Total operating expenses |     |       | 7,300                |   |               |          | 7,262 |   |             |       | 6,954 |   |     |       | 6,939 | 
|                                                                 |                                             |                          |     |       |                      |   |               |          |       |   |             |      
|Operating income                                                 |                                             |                          | 111 |       |                      |   | 143           |          |       |   | 228         |       |       |   | 238 |      
|                                                                 | Interest expense                            |                          |     | (59   | )                    |   |               | (62      | )     |   |             | (45   | )     |   |     | (48   | )    
|                                                                 | Other income (expense), net                 |                          |     | (2    | )                    |   |               | (6       | )     |   |             | (1    | )     |   |     | (4    | )    
|                                                                 |                                             |                          |     |       |                      |   |               |          |       |   |             |      
|Income before income taxes, minority interest, and equity income |                                             |                          | 50  |       |                      |   | 75            |          |       |   | 182         |       |       |   | 186 |      
|                                                                 | Income tax expense                          |                          |     | (14   | )                    |   |               | (23      | )     |   |             | (59   | )     |   |     | (66   | )    
|                                                                 | Minority interest, net of tax               |                          |     | (11   | )                    |   |               | (11      | )     |   |             | (10   | )     |   |     | (11   | )    
|                                                                 | Equity income                               |                          |     | 22    |                      |   |               | 22       |       |   |             | 14    |       |   |     | 15    |      
|                                                                 |                                             |                          |     |       |                      |   |               |          |       |   |             |      
|Net income                                                       |                                             | $                        | 47  |       |                      | $ | 63            |          |       | $ | 127         |       |       | $ | 124 |      
|                                                                 |                                             |                          |     |       |                      |   |               |          |       |   |             |      
|Earnings per share                                               |                                             |                          |     |       |                      |   |               |          |       |   |             |       |       |   |     |      
|                                                                 | Basic and diluted                           |                          | $   | 0.08  |                      |   | $             | 0.11     |       |   | $           | 0.23  |       |   | $   | 0.22  |      
|                                                                 |                                             |                          |     |       |                      |   |               |          |       |   |             |      

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##### Table of Contents



CONSOLIDATED BALANCE SHEETS


|                                           |                                                                                                                |                                                   |        |        |                   |   |               |          |        |   |             |        |        |   |        |        |        | 
|------------------------------------------ | -------------------------------------------------------------------------------------------------------------- | ------------------------------------------------- | ------ | ------ | ----------------- | - | ------------- | -------- | ------ | - | ----------- | ------ | ------ | - | ------ | ------ | ------ | 
|                                           |                                                                                                                | March 31, 2004                                    |        |        | December 31, 2003 |  
|                                           |                                                                                                                |                                                   |        |        |                   |  
|                                           |                                                                                                                | As Originally                                     |        |        |                   |   | As Originally |          |        |  
|                                           |                                                                                                                | Reported(1)                                       |        |        | As Restated       |   |               | Reported |        |   | As Restated |       
|                                           |                                                                                                                |                                                   |        |        |                   |   |               |          |        |   |             |       
|                                           |                                                                                                                | (in millions)                                     |        |        | (in millions)     |  
|ASSETS                                    
|Current assets:                            |                                                                                                                |                                                   |        |        |                   |   |               |          |        |   |             |        |        |   |        |       
|                                           | Cash and cash equivalents                                                                                      |                                                   | $      | 808    |                   |   | $             | 829      |        |   | $           | 880    |        |   | $      | 893    |       
|                                           | Accounts receivable, net:                                                                                      |                                                   |        |        |                   |   |               |          |        |   |             |        |        |   |        |        |       
|                                           |                                                                                                                | General Motors and affiliates                     |        |        | 2,706             |   |               |          | 2,706  |   |             |        | 2,326  |   |        |        | 2,327  | 
|                                           |                                                                                                                | Other customers                                   |        |        | 1,590             |   |               |          | 1,632  |   |             |        | 1,438  |   |        |        | 1,501  | 
|                                           | Retained interest in receivables, net                                                                          |                                                   |        | 893    |                   |   |               | 893      |        |   |             | 717    |        |   |        | 717    |       
|                                           | Inventories, net:                                                                                              |                                                   |        |        |                   |   |               |          |        |   |             |        |        |   |        |        |       
|                                           |                                                                                                                | Productive material, work-in-process and supplies |        |        | 1,581             |   |               |          | 1,394  |   |             |        | 1,518  |   |        |        | 1,318  | 
|                                           |                                                                                                                | Finished goods                                    |        |        | 473               |   |               |          | 469    |   |             |        | 478    |   |        |        | 478    | 
|                                           | Deferred income taxes                                                                                          |                                                   |        | 364    |                   |   |               | 374      |        |   |             | 420    |        |   |        | 367    |       
|                                           | Prepaid expenses and other                                                                                     |                                                   |        | 282    |                   |   |               | 287      |        |   |             | 269    |        |   |        | 269    |       
|                                           |                                                                                                                |                                                   |        |        |                   |   |               |          |        |   |             |       
|                                           |                                                                                                                | Total current assets                              |        |        | 8,697             |   |               |          | 8,584  |   |             |        | 8,046  |   |        |        | 7,870  | 
|Long-term assets:                          |                                                                                                                |                                                   |        |        |                   |   |               |          |        |   |             |        |        |   |        |       
|                                           | Property, net                                                                                                  |                                                   |        | 6,067  |                   |   |               | 6,276    |        |   |             | 6,167  |        |   |        | 6,399  |       
|                                           | Deferred income taxes                                                                                          |                                                   |        | 3,931  |                   |   |               | 4,037    |        |   |             | 3,835  |        |   |        | 3,961  |       
|                                           | Goodwill                                                                                                       |                                                   |        | 770    |                   |   |               | 770      |        |   |             | 776    |        |   |        | 773    |       
|                                           | Other intangible assets                                                                                        |                                                   |        | 68     |                   |   |               | 68       |        |   |             | 79     |        |   |        | 81     |       
|                                           | Pension intangible assets                                                                                      |                                                   |        | 1,167  |                   |   |               | 1,167    |        |   |             | 1,167  |        |   |        | 1,167  |       
|                                           | Other                                                                                                          |                                                   |        | 834    |                   |   |               | 826      |        |   |             | 834    |        |   |        | 815    |       
|                                           |                                                                                                                |                                                   |        |        |                   |   |               |          |        |   |             |       
|                                           |                                                                                                                | Total assets                                      |        | $      | 21,534            |   |               | $        | 21,728 |   |             | $      | 20,904 |   |        | $      | 21,066 | 
|                                           |                                                                                                                |                                                   |        |        |                   |   |               |          |        |   |             |       
|LIABILITIES AND STOCKHOLDERS EQUITY      
|Current liabilities:                       |                                                                                                                |                                                   |        |        |                   |   |               |          |        |   |             |        |        |   |        |       
|                                           | Notes payable and current portion of long-term debt                                                            |                                                   | $      | 977    |                   |   | $             | 1,114    |        |   | $           | 801    |        |   | $      | 892    |       
|                                           | Accounts payable                                                                                               |                                                   |        | 3,333  |                   |   |               | 3,308    |        |   |             | 3,158  |        |   |        | 3,133  |       
|                                           | Accrued liabilities                                                                                            |                                                   |        | 2,545  |                   |   |               | 3,010    |        |   |             | 2,232  |        |   |        | 2,684  |       
|                                           |                                                                                                                |                                                   |        |        |                   |   |               |          |        |   |             |       
|                                           |                                                                                                                | Total current liabilities                         |        |        | 6,855             |   |               |          | 7,432  |   |             |        | 6,191  |   |        |        | 6,709  | 
|Long-term liabilities:                     |                                                                                                                |                                                   |        |        |                   |   |               |          |        |   |             |        |        |   |        |       
|                                           | Long-term debt                                                                                                 |                                                   |        | 2,022  |                   |   |               | 2,074    |        |   |             | 2,022  |        |   |        | 2,152  |       
|                                           | Junior subordinated notes due to Delphi Trust I and II                                                         |                                                   |        | 412    |                   |   |               | 412      |        |   |             | 412    |        |   |        | 412    |       
|                                           | Pension benefits                                                                                               |                                                   |        | 3,403  |                   |   |               | 3,403    |        |   |             | 3,574  |        |   |        | 3,577  |       
|                                           | Postretirement benefits other than pensions                                                                    |                                                   |        | 5,869  |                   |   |               | 5,869    |        |   |             | 5,697  |        |   |        | 5,697  |       
|                                           | Other                                                                                                          |                                                   |        | 1,246  |                   |   |               | 884      |        |   |             | 1,271  |        |   |        | 905    |       
|                                           |                                                                                                                |                                                   |        |        |                   |   |               |          |        |   |             |       
|                                           |                                                                                                                | Total liabilities                                 |        |        | 19,807            |   |               |          | 20,074 |   |             |        | 19,167 |   |        |        | 19,452 | 
|                                           |                                                                                                                |                                                   |        |        |                   |   |               |          |        |   |             |       
|Commitments and contingencies (Note 10)    |                                                                                                                |                                                   |        |        |                   |   |               |          |        |   |             |        |        |   |        |       
|Minority interest                          |                                                                                                                |                                                   | 181    |        |                   |   | 183           |          |        |   | 167         |        |        |   | 168    |       
|Stockholders equity:                      |                                                                                                                |                                                   |        |        |                   |   |               |          |        |   |             |        |        |   |        |       
|                                           | Common stock, $0.01 par value, 1,350 million shares
    authorized, 565 million shares issued in 2004 and 2003 |                                                   |        | 6      |                   |   |               | 6        |        |   |             | 6      |        |   |        | 6      |       
|                                           | Additional paid-in capital                                                                                     |                                                   |        | 2,672  |                   |   |               | 2,663    |        |   |             | 2,667  |        |   |        | 2,660  |       
|                                           | Retained earnings                                                                                              |                                                   |        | 1,249  |                   |   |               | 1,021    |        |   |             | 1,241  |        |   |        | 997    |       
|                                           | Minimum pension liability                                                                                      |                                                   |        | (2,118 | )                 |   |               | (2,006   | )      |   |             | (2,118 | )      |   |        | (2,006 | )     
|                                           | Accumulated other comprehensive loss, excluding minimum pension
    liability                                  |                                                   |        | (188   | )                 |   |               | (138     | )      |   |             | (151   | )      |   |        | (136   | )     
|                                           | Treasury stock, at cost (4.7 million shares in 2004 and
    2003)                                              |                                                   |        | (75    | )                 |   |               | (75      | )      |   |             | (75    | )      |   |        | (75    | )     
|                                           |                                                                                                                |                                                   |        |        |                   |   |               |          |        |   |             |       
|                                           |                                                                                                                | Total stockholders equity                        |        |        | 1,546             |   |               |          | 1,471  |   |             |        | 1,570  |   |        |        | 1,446  | 
|                                           |                                                                                                                |                                                   |        |        |                   |   |               |          |        |   |             |       
|Total liabilities and stockholders equity |                                                                                                                | $                                                 | 21,534 |        |                   | $ | 21,728        |          |        | $ | 20,904      |        |        | $ | 21,066 |       
|                                           |                                                                                                                |                                                   |        |        |                   |   |               |          |        |   |             |       

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##### Table of Contents



CONSOLIDATED STATEMENTS OF CASH FLOWS


|                                                      |  |                    |      |   |                    |   |      |               |  |   |          |   |  |   |       |  
|----------------------------------------------------- |  | ------------------ | ---- | - | ------------------ | - | ---- | ------------- |  | - | -------- | - |  | - | ----- | -
|                                                      |  | Three Months Ended |      |   | Three Months Ended |  
|                                                      |  | March 31, 2004     |      |   | March 31, 2003     |  
|                                                      |  |                    |      |   |                    |  
|                                                      |  | As Originally      |      |   | As                 |   |      | As Originally |  |   | As       |  
|                                                      |  | Reported(1)        |      |   | Restated           |   |      | Reported      |  |   | Restated |  
|                                                      |  |                    |      |   |                    |   |      |               |  |   |          |  
|                                                      |  | (in millions)      |      |   | (in millions)      |  
|Cash and cash equivalents at beginning of period      |  | $                  | 880  |   |                    | $ | 893  |               |  | $ | 1,014    |   |  | $ | 1,028 |  
|Cash flows provided by operating activities           |  |                    | 14   |   |                    |   | 40   |               |  |   | 4        |   |  |   | 32    |  
|Cash flows used in investing activities               |  |                    | (230 | ) |                    |   | (214 | )             |  |   | (194     | ) |  |   | (205  | )
|Cash flows provided by (used in) financing activities |  |                    | 146  |   |                    |   | 112  |               |  |   | (74      | ) |  |   | (91   | )
|Effect of exchange rate changes on cash               |  |                    | (2   | ) |                    |   | (2   | )             |  |   | 5        |   |  |   | 5     |  
|                                                      |  |                    |      |   |                    |   |      |               |  |   |          |  
|Net decrease in cash and cash equivalents             |  |                    | (72  | ) |                    |   | (64  | )             |  |   | (259     | ) |  |   | (259  | )
|                                                      |  |                    |      |   |                    |   |      |               |  |   |          |  
|Cash and cash equivalents at end of period            |  | $                  | 808  |   |                    | $ | 829  |               |  | $ | 755      |   |  | $ | 769   |  
|                                                      |  |                    |      |   |                    |   |      |               |  |   |          |  






|    |                                                                                                                                                               
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------------
|(1) | As originally reported reflects the adoption of FSP 106-2 in the
    third quarter of 2004. Refer to Note 1 Basis of
    Presentation for further information.





|   |                                  
|-- | ---------------------------------
|3. | EMPLOYEE AND PRODUCT LINE CHARGES





|                                  |                                 |                |     |      |            |   |   |       |  |   |     |      |     
|--------------------------------- | ------------------------------- | -------------- | --- | ---- | ---------- | - | - | ----- |  | - | --- | ---- | ----
|Employee and Product Line Charges |                                 | Employee Costs |     |      | Exit Costs |   |   | Total | 
|                                  |                                 |                |     |      |            |   |   |       | 
|Balance at January 1, 2004        |                                 | $              | 246 |      |            | $ | 5 |       |  | $ | 251 |     
|                                  | First quarter 2004 charges      |                |     | 38   |            |   |   |      |  |   |     | 38   |     
|                                  | Usage in the first quarter 2004 |                |     | (145 | )          |   |   |      |  |   |     | (145 | )(a)
|                                  |                                 |                |     |      |            |   |   |       | 
|Balance at March 31, 2004         |                                 | $              | 139 |      |            | $ | 5 |       |  | $ | 144 | (b) 
|                                  |                                 |                |     |      |            |   |   |       | 

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|    |                                                                                                                                                                                                                                                                                                                                                                                                                    
|--- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(a) | The total cash paid in the first quarter of 2004 was
    $141 million, as shown on our consolidated Statement of
    Cash Flows. The $145 million of usage in the first quarter
    includes $4 million of non-cash special termination pension
    and postretirement benefits. In addition, we incurred
    $52 million of cash costs associated with the 2004 charges,
    which were recorded in cost of sales.



|    |  |                                                                                                   
|--- |  | --------------------------------------------------------------------------------------------------
|(b) |  | This amount is included in accrued liabilities in the
    accompanying consolidated balance sheet.





|   |                     
|-- | --------------------
|4. | ASSET SECURITIZATION

U.S. Program








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|                                                                          |  |                    |      |  
|------------------------------------------------------------------------- |  | ------------------ | ---- | -
|                                                                          |  | Three Months Ended |     
|                                                                          |  | March 31, 2004     |     
|                                                                          |  |                    |     
|                                                                          |  | (in millions)      |     
|Undivided interests sold at beginning of period                           |  | $                  | 323  |  
|Proceeds from new securitizations (sale of undivided interests)           |  |                    | 725  |  
|Collections related to undivided interest sold(a)                         |  |                    | (873 | )
|Collections reinvested through sale of additional undivided
    interests |  |                    | 150  |  
|                                                                          |  |                    |     
|Undivided interests sold                                                  |  | $                  | 325  |  
|                                                                          |  |                    |     






|    |                                                                                                                                                                                               
|--- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(a) | Of the collections received on the undivided interests sold, for
    the three months ended March 31, 2004, $723 million
    was remitted to the Conduits and $150 million was
    reinvested.

European
Program










|   |           
|-- | ----------
|5. | WARRANTIES



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|                                               |                                                                              |               |     |     |  
|---------------------------------------------- | ---------------------------------------------------------------------------- | ------------- | --- | --- | -
|                                               |                                                                              | March 31,     |    
|                                               |                                                                              | 2004          |    
|                                               |                                                                              |               |    
|                                               |                                                                              | (in millions) |    
|Beginning accrual balance at December 31, 2003 |                                                                              | $             | 258 |    
|                                               | Provision for estimated warranties accrued during the
    three-month period |               |     | 28  |  
|                                               | Accruals for pre-existing warranties (including changes in
    estimates)    |               |     | 8   |  
|                                               | Settlements made during the three-month period (in cash or in
    kind)      |               |     | (33 | )
|                                               | Foreign currency translation                                                 |               |     | (2  | )
|                                               |                                                                              |               |    
|Ending accrual balance at March 31, 2004       |                                                                              | $             | 259 |    
|                                               |                                                                              |               |    





|   |                                          
|-- | -----------------------------------------
|6. | PENSION AND OTHER POSTRETIREMENT BENEFITS





|                                   |                           |                  |      |                |               |       |      |      |  |   |      |     |  |   |     |     | 
|---------------------------------- | ------------------------- | ---------------- | ---- | -------------- | ------------- | ----- | ---- | ---- |  | - | ---- | --- |  | - | --- | --- | 
|                                   |                           |                  |      |                |               | Other |     
|                                   |                           |                  |      | Postretirement |              
|                                   |                           | Pension Benefits |      |                | Benefits      |      
|                                   |                           |                  |      |                |               |      
|                                   |                           | 2004             |      |                | 2003          |       |      | 2004 |  |   | 2003 |    
|                                   |                           |                  |      |                |               |       |      |      |  |   |      |    
|                                   |                           | (in millions)    |      |                | (in millions) |      
|Service cost                       |                           | $                | 71   |                |               | $     | 65   |      |  | $ | 45   |     |  | $ | 42  |    
|Interest cost                      |                           |                  | 175  |                |               |       | 161  |      |  |   | 128  |     |  |   | 115 |    
|Expected return on plan assets     |                           |                  | (181 | )              |               |       | (162 | )    |  |   |     |     |  |   |    |    
|Amortization of prior service cost |                           |                  | 35   |                |               |       | 23   |      |  |   | (1   | )   |  |   |    |    
|Amortization of net loss           |                           |                  | 35   |                |               |       | 27   |      |  |   | 35   |     |  |   | 18  |    
|Special termination benefits       |                           |                  | 3    |                |               |       |     |      |  |   | 1    |     |  |   |    |    
|                                   |                           |                  |      |                |               |       |      |      |  |   |      |    
|                                   | Net periodic benefit cost |                  | $    | 138            |               |       | $    | 114  |  |   | $    | 208 |  |   | $   | 175 | 
|                                   |                           |                  |      |                |               |       |      |      |  |   |      |    





16



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##### Table of Contents









|   |                                   
|-- | ----------------------------------
|7. | DERIVATIVES AND HEDGING ACTIVITIES





17



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##### Table of Contents





|   |                     
|-- | --------------------
|8. | STOCKHOLDERS EQUITY



|                                                         |                                                                                         |                                                      |     |   |            |   |   |          |  |                    |          |   |  |           |       |          |       |   |               |       |  |   |        |     |   |   |     |   |  |   |       |     |    | 
|-------------------------------------------------------- | --------------------------------------------------------------------------------------- | ---------------------------------------------------- | --- | - | ---------- | - | - | -------- |  | ------------------ | -------- | - |  | --------- | ----- | -------- | ----- | - | ------------- | ----- |  | - | ------ | --- | - | - | --- | - |  | - | ----- | --- | -- | 
|                                                         |                                                                                         |                                                      |     |   |            |   |   |          |  | Accumulated Other  |          |   |  |           |      
|                                                         |                                                                                         |                                                      |     |   |            |   |   |          |  | Comprehensive Loss |          |   |  |           |      
|                                                         |                                                                                         |                                                      |     |   |            |   |   |          |  |                    |          |   | 
|                                                         |                                                                                         | Common Stock                                         |     |   | Additional |   |   |          |  | Minimum            |          |   |  |           |       |          | Total |  
|                                                         |                                                                                         |                                                      |     |   | Paid-In    |   |   | Retained |  |                    | Pension  |   |  |           |       | Treasury |       |   | Stockholders |      
|                                                         |                                                                                         | Shares                                               |     |   | Amount     |   |   | Capital  |  |                    | Earnings |   |  | Liability |       |          | Other |   |               | Stock |  |   | Equity |    
|                                                         |                                                                                         |                                                      |     |   |            |   |   |          |  |                    |          |   |  |           |       |          |       |   |               |       |  |   |        |    
|                                                         |                                                                                         | (in millions)                                        |    
|Balance at January 1, 2004 (As restated, see
    Note 2) |                                                                                         |                                                      | 565 |   |            | $ | 6 |          |  | $                  | 2,660    |   |  | $         | 997   |          |       | $ | (2,006        | )     |  | $ | (136   | )   |   | $ | (75 | ) |  | $ | 1,446 |    
|                                                         | Net income (As restated, see Note 2)                                                    |                                                      |     |  |            |   |   |         |  |                    |          |  |  |           |       | 63       |       |   |               |      |  |   |        |    |   |   |     |  |  |   |       | 63  |   
|                                                         | Currency translation adjustments and other (As restated, see
    Note 2)                |                                                      |     |  |            |   |   |         |  |                    |          |  |  |           |       |         |       |   |               |      |  |   |        | (10 | ) |   |     |  |  |   |       | (10 | ) 
|                                                         | Net change in unrecognized gain on derivative instruments (As
    restated, see Note 2) |                                                      |     |  |            |   |   |         |  |                    |          |  |  |           |       |         |       |   |               |      |  |   |        | 8   |   |   |     |  |  |   |       | 8   |   
|                                                         | Minimum pension liability adjustment                                                    |                                                      |     |  |            |   |   |         |  |                    |          |  |  |           |       |         |       |   |               |      |  |   |        |    |   |   |     |  |  |   |       |    |   
|                                                         |                                                                                         |                                                      |     |   |            |   |   |          |  |                    |          |   |  |           |       |          |       |   |               |       |  |   |        |    
|                                                         |                                                                                         | Total comprehensive income (As restated, see Note 2) |     |   |            |   |   |          |  |                    |          |   |  |           |       |          |       |   |               |       |  |   |        |     |   |   |     |   |  |   |       |     | 61 | 
|                                                         | Shares issued for employee benefit plans, net (As restated, see
    Note 2)             |                                                      |     |  |            |   |   |         |  |                    |          | 3 |  |           |       |         |       |   |               |      |  |   |        |    |   |   |     |  |  |   |       | 3   |   
|                                                         | Dividends                                                                               |                                                      |     |  |            |   |   |         |  |                    |          |  |  |           |       | (39      | )     |   |               |      |  |   |        |    |   |   |     |  |  |   |       | (39 | ) 
|                                                         |                                                                                         |                                                      |     |   |            |   |   |          |  |                    |          |   |  |           |       |          |       |   |               |       |  |   |        |    
|Balance at March 31, 2004 (As restated, see
    Note 2)  |                                                                                         |                                                      | 565 |   |            | $ | 6 |          |  | $                  | 2,663    |   |  | $         | 1,021 |          |       | $ | (2,006        | )     |  | $ | (138   | )   |   | $ | (75 | ) |  | $ | 1,471 |    
|                                                         |                                                                                         |                                                      |     |   |            |   |   |          |  |                    |          |   |  |           |       |          |       |   |               |       |  |   |        |    



|   |                  
|-- | -----------------
|9. | SEGMENT REPORTING





| |   |                                                                                                                                                                                                                                                                               
| | - | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  | Dynamics, Propulsion, Thermal & Interior Sector, which
    includes selected businesses from our energy and engine
    management systems, chassis, steering, thermal systems and
    interior product lines.                                                                 
|
| |  | Electrical, Electronics & Safety Sector, which includes
    selected businesses from our automotive electronics, audio,
    consumer and aftermarket products, communication systems, safety
    and power and signal distribution systems product lines.                     
|
| |  | Automotive Holdings Group (AHG), which is comprised
    of product lines and plant sites that do not meet our targets
    for net income or other financial metrics, allowing for
    consistent and targeted management focus on finding solutions to
    these businesses.

18



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|                            |                                |                 |   |       |               |  |   |               |       |  |               |      |      |               |   |      |      |   |   |       |       | 
|--------------------------- | ------------------------------ | --------------- | - | ----- | ------------- |  | - | ------------- | ----- |  | ------------- | ---- | ---- | ------------- | - | ---- | ---- | - | - | ----- | ----- | 
|                            |                                | Dynamics,       |   |       |               |  |   |               |       |  |              
|                            |                                | Propulsion,     |   |       | Electrical,   |  |   | Automotive    |       |  |               |      |     
|                            |                                | Thermal &       |   |       | Electronics & |  |   | Holdings      |       |  |               |      |     
|                            |                                | Interior        |   |       | Safety        |  |   | Group         |       |  | Other(a)      |      |      | Total         |  
|                            |                                |                 |   |       |               |  |   |               |       |  |               |      |      |               |  
|                            |                                | (in millions)   |   |       | (in millions) |  |   | (in millions) |       |  | (in millions) |      |      | (in millions) |  
|For the Three Months Ended: |                                |                 |   |       |               |  |   |               |       |  |               |      |      |               |   |      |      |   |   |      
|March 31, 2004              |                                |                 |   |       |               |  |   |               |       |  |               |      |      |               |   |      |      |   |   |      
|                            | Net sales to GM and affiliates |                 | $ | 2,156 |               |  | $ | 1,610         |       |  | $             | 423  |      |               | $ |     |      |   | $ | 4,189 |      
|                            | Net sales to other customers   |                 |   | 1,325 |               |  |   | 1,794         |       |  |               | 97   |      |               |   |     |      |   |   | 3,216 |      
|                            | Inter-sector net sales         |                 |   | 220   |               |  |   | 121           |       |  |               | 206  |      |               |   | (547 | )    |   |   |      |      
|                            |                                |                 |   |       |               |  |   |               |       |  |               |      |      |               |  
|                            |                                | Total net sales |   | $     | 3,701         |  |   | $             | 3,525 |  |               | $    | 726  |               |   | $    | (547 | ) |   | $     | 7,405 | 
|                            |                                |                 |   |       |               |  |   |               |       |  |               |      |      |               |  
|                            | Sector operating income (loss) |                 | $ | 92    | (b)           |  | $ | 285           | (b)   |  | $             | (125 | )(b) |               | $ | (19  | )(b) |   | $ | 233   | (b)  
|March 31, 2003              |                                |                 |   |       |               |  |   |               |       |  |               |      |      |               |   |      |      |   |   |      
|                            | Net sales to GM and affiliates |                 | $ | 2,326 |               |  | $ | 1,722         |       |  | $             | 507  |      |               | $ |     |      |   | $ | 4,555 |      
|                            | Net sales to other customers   |                 |   | 1,138 |               |  |   | 1,383         |       |  |               | 100  |      |               |   | 1    |      |   |   | 2,622 |      
|                            | Inter-sector net sales         |                 |   | 198   |               |  |   | 112           |       |  |               | 215  |      |               |   | (525 | )    |   |   |      |      
|                            |                                |                 |   |       |               |  |   |               |       |  |               |      |      |               |  
|                            |                                | Total net sales |   | $     | 3,662         |  |   | $             | 3,217 |  |               | $    | 822  |               |   | $    | (524 | ) |   | $     | 7,177 | 
|                            |                                |                 |   |       |               |  |   |               |       |  |               |      |      |               |  
|                            | Sector operating income (loss) |                 | $ | 145   |               |  | $ | 252           |       |  | $             | (137 | )    |               | $ | (22  | )    |   | $ | 238   |      






|    |                                                                                                               
|--- | --------------------------------------------------------------------------------------------------------------
|(a) | Other includes activity not allocated to the product sectors and
    elimination of inter-sector transactions.



|    |  |                                                                                                                                                                                                                         
|--- |  | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(b) |  | Excludes the 2004 Charges of $44 million for Dynamics,
    Propulsion, Thermal & Interior, $20 million for
    Electrical, Electronics & Safety, $22 million for
    Automotive Holdings Group and $4 million for Other.



|    |                              
|--- | -----------------------------
|10. | COMMITMENTS AND CONTINGENCIES

Ongoing
SEC Investigation




19



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##### Table of Contents







Shareholder Lawsuits










Ordinary Business Litigation






20



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##### Table of Contents













|    |                  
|--- | -----------------
|11. | SUBSEQUENT EVENTS



21



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##### Table of Contents








|        |                                                                                          
|------- | -----------------------------------------------------------------------------------------
|ITEM 2. | MANAGEMENTS DISCUSSION AND ANALYSIS OF FINANCIAL
    CONDITION AND RESULTS OF OPERATIONS

Restatement






Executive Summary










Results of Operations




22



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##### Table of Contents





| |                                                                               
| | ------------------------------------------------------------------------------
| | Three Months Ended March 31, 2004 versus Three Months
    Ended March 31, 2003

Net Sales.


|                                         |                        |                 |       |       |      |   |       |       | 
|---------------------------------------- | ---------------------- | --------------- | ----- | ----- | ---- | - | ----- | ----- | 
|                                         |                        | Three Months    |      
|                                         |                        | Ended March 31, |      
|                                         |                        |                 |      
|Product Sector                           |                        | 2004            |       |       | 2003 |  
|                                         |                        |                 |       |       |      |  
|                                         |                        | (in millions)   |      
|Dynamics, Propulsion, Thermal & Interior |                        | $               | 3,701 |       |      | $ | 3,662 |      
|Electrical, Electronics & Safety         |                        |                 | 3,525 |       |      |   | 3,217 |      
|Automotive Holdings Group                |                        |                 | 726   |       |      |   | 822   |      
|Other                                    |                        |                 | (547  | )     |      |   | (524  | )    
|                                         |                        |                 |       |       |      |  
|                                         | Consolidated net sales |                 | $     | 7,405 |      |   | $     | 7,177 | 
|                                         |                        |                 |       |       |      |  



Gross Margin.


Selling, General and Administrative.


Depreciation and Amortization.


Employee and Product Line Charges.


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|                                  |                                 |                |     |      |            |   |   |       |  |   |     |      |     
|--------------------------------- | ------------------------------- | -------------- | --- | ---- | ---------- | - | - | ----- |  | - | --- | ---- | ----
|Employee and Product Line Charges |                                 | Employee Costs |     |      | Exit Costs |   |   | Total | 
|                                  |                                 |                |     |      |            |   |   |       | 
|Balance at January 1, 2004        |                                 | $              | 246 |      |            | $ | 5 |       |  | $ | 251 |     
|                                  | First quarter 2004 charges      |                |     | 38   |            |   |   |      |  |   |     | 38   |     
|                                  | Usage in the first quarter 2004 |                |     | (145 | )          |   |   |      |  |   |     | (145 | )(a)
|                                  |                                 |                |     |      |            |   |   |       | 
|Balance at March 31, 2004         |                                 | $              | 139 |      |            | $ | 5 |       |  | $ | 144 | (b) 
|                                  |                                 |                |     |      |            |   |   |       | 






|    |                                                                                                                                                                                                                                                                                                                                                                                                                    
|--- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(a) | The total cash paid in the first quarter of 2004 was
    $141 million, as shown on our consolidated Statement of
    Cash Flows. The $145 million of usage in the first quarter
    includes $4 million of non-cash special termination pension
    and postretirement benefits. In addition, we incurred
    $52 million of cash costs associated with the 2004 charges,
    which were recorded in cost of sales.



|    |  |                                                                                                   
|--- |  | --------------------------------------------------------------------------------------------------
|(b) |  | This amount is included in accrued liabilities in the
    accompanying consolidated balance sheet.



Operating Income.


|                                         |                        |                 |      |     |      |   |      |     | 
|---------------------------------------- | ---------------------- | --------------- | ---- | --- | ---- | - | ---- | --- | 
|                                         |                        | Three Months    |     
|                                         |                        | Ended March 31, |     
|                                         |                        |                 |     
|Product Sector                           |                        | 2004            |      |     | 2003 |  
|                                         |                        |                 |      |     |      |  
|                                         |                        | (in millions)   |     
|Dynamics, Propulsion, Thermal & Interior |                        | $               | 92   |     |      | $ | 145  |    
|Electrical, Electronics & Safety         |                        |                 | 285  |     |      |   | 252  |    
|Automotive Holdings Group                |                        |                 | (125 | )   |      |   | (137 | )  
|Other                                    |                        |                 | (19  | )   |      |   | (22  | )  
|                                         |                        |                 |      |     |      |  
|                                         | Subtotal               |                 |      | 233 |      |   |      | 238 | 
|2004 Charges(a)                          |                        |                 | (90  | )   |      |   |     |    
|                                         |                        |                 |      |     |      |  
|                                         | Total operating income |                 | $    | 143 |      |   | $    | 238 | 
|                                         |                        |                 |      |     |      |  






|    |                                                                                                                                                                                                                           
|--- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(a) | Represents the 2004 Charges of $44 million for Dynamics,
    Propulsion, Thermal & Interior, $20 million for
    Electrical, Electronics & Safety, $22 million for
    Automotive Holdings Group and $4 million for Other.



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Taxes.


2003 and 2002 Segment Reporting




|                                          |                                |                 |   |       |               |  |   |               |       |  |               |      |     |               |   |      |      |   |   |       |       | 
|----------------------------------------- | ------------------------------ | --------------- | - | ----- | ------------- |  | - | ------------- | ----- |  | ------------- | ---- | --- | ------------- | - | ---- | ---- | - | - | ----- | ----- | 
|                                          |                                | Dynamics,       |   |       |               |  |   |               |       |  |              
|                                          |                                | Propulsion,     |   |       | Electrical,   |  |   | Automotive    |       |  |               |      |    
|                                          |                                | Thermal &       |   |       | Electronics & |  |   | Holdings      |       |  |               |      |    
|                                          |                                | Interior        |   |       | Safety        |  |   | Group         |       |  | Other (a)     |      |     | Total         |  
|                                          |                                |                 |   |       |               |  |   |               |       |  |               |      |     |               |  
|                                          |                                | (in millions)   |   |       | (in millions) |  |   | (in millions) |       |  | (in millions) |      |     | (in millions) |  
|For the Three Months Ended March 31, 2003 |                                |                 |   |       |               |  |   |               |       |  |               |      |     |               |   |      |      |   |   |      
|                                          | Net sales to GM and affiliates |                 | $ | 2,326 |               |  | $ | 1,722         |       |  | $             | 507  |     |               | $ |     |      |   | $ | 4,555 |      
|                                          | Net sales to other customers   |                 |   | 1,138 |               |  |   | 1,383         |       |  |               | 100  |     |               |   | 1    |      |   |   | 2,622 |      
|                                          | Inter-sector net sales         |                 |   | 198   |               |  |   | 112           |       |  |               | 215  |     |               |   | (525 | )    |   |   |      |      
|                                          |                                |                 |   |       |               |  |   |               |       |  |               |      |     |               |  
|                                          |                                | Total net sales |   | $     | 3,662         |  |   | $             | 3,217 |  |               | $    | 822 |               |   | $    | (524 | ) |   | $     | 7,177 | 
|                                          |                                |                 |   |       |               |  |   |               |       |  |               |      |     |               |  
|                                          | Sector operating income (loss) |                 | $ | 145   |               |  | $ | 252           |       |  | $             | (137 | )   |               | $ | (22  | )    |   | $ | 238   |      

25



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|                                              |                                |                 |        |       |               |   |       |               |        |   |               |       |         |               |      |        |         |   |        |        |        | 
|--------------------------------------------- | ------------------------------ | --------------- | ------ | ----- | ------------- | - | ----- | ------------- | ------ | - | ------------- | ----- | ------- | ------------- | ---- | ------ | ------- | - | ------ | ------ | ------ | 
|                                              |                                | Dynamics,       |        |       |               |   |       |               |        |   |              
|                                              |                                | Propulsion,     |        |       | Electrical,   |   |       | Automotive    |        |   |               |       |        
|                                              |                                | Thermal &       |        |       | Electronics & |   |       | Holdings      |        |   |               |       |        
|                                              |                                | Interior        |        |       | Safety        |   |       | Group         |        |   | Other(a)      |       |         | Total         |     
|                                              |                                |                 |        |       |               |   |       |               |        |   |               |       |         |               |     
|                                              |                                | (in millions)   |        |       | (in millions) |   |       | (in millions) |        |   | (in millions) |       |         | (in millions) |     
|For the Three Months Ended June 30, 2003      |                                |                 |        |       |               |   |       |               |        |   |               |       |         |               |      |        |         |   |        |       
|                                              | Net sales to GM and affiliates |                 | $      | 2,189 |               |   | $     | 1,666         |        |   | $             | 458   |         |               | $    |       |         |   | $      | 4,313  |       
|                                              | Net sales to other customers   |                 |        | 1,196 |               |   |       | 1,480         |        |   |               | 101   |         |               |      |       |         |   |        | 2,777  |       
|                                              | Inter-sector net sales         |                 |        | 217   |               |   |       | 105           |        |   |               | 206   |         |               |      | (528   | )       |   |        |       |       
|                                              |                                |                 |        |       |               |   |       |               |        |   |               |       |         |               |     
|                                              |                                | Total net sales |        | $     | 3,602         |   |       | $             | 3,251  |   |               | $     | 765     |               |      | $      | (528    | ) |        | $      | 7,090  | 
|                                              |                                |                 |        |       |               |   |       |               |        |   |               |       |         |               |     
|Sector operating income (loss)                |                                | $               | 143    |       |               | $ | 272   |               |        | $ | (155          | )     |         | $             | (60  | )(b)   |         | $ | 200    | (b)   
|                                             
|For the Three Months Ended September 30, 2003 |                                |                 |        |       |               |   |       |               |        |   |               |       |         |               |      |        |         |   |        |       
|                                              | Net sales to GM and affiliates |                 | $      | 1,989 |               |   | $     | 1,522         |        |   | $             | 416   |         |               | $    |       |         |   | $      | 3,927  |       
|                                              | Net sales to other customers   |                 |        | 1,113 |               |   |       | 1,433         |        |   |               | 86    |         |               |      |       |         |   |        | 2,632  |       
|                                              | Inter-sector net sales         |                 |        | 189   |               |   |       | 96            |        |   |               | 182   |         |               |      | (467   | )       |   |        |       |       
|                                              |                                |                 |        |       |               |   |       |               |        |   |               |       |         |               |     
|                                              |                                | Total net sales |        | $     | 3,291         |   |       | $             | 3,051  |   |               | $     | 684     |               |      | $      | (467    | ) |        | $      | 6,559  | 
|                                              |                                |                 |        |       |               |   |       |               |        |   |               |       |         |               |     
|Sector operating income (loss)                |                                | $               | 28     | (c)   |               | $ | 184   | (c)           |        | $ | (156          | )(c)  |         | $             | (6   | )(c)   |         | $ | 50     | (c)   
|                                             
|For the Three Months Ended December 31, 2003  |                                |                 |        |       |               |   |       |               |        |   |               |       |         |               |      |        |         |   |        |       
|                                              | Net sales to GM and affiliates |                 | $      | 2,152 |               |   | $     | 1,644         |        |   | $             | 438   |         |               | $    |       |         |   | $      | 4,234  |       
|                                              | Net sales to other customers   |                 |        | 1,255 |               |   |       | 1,663         |        |   |               | 99    |         |               |      |       |         |   |        | 3,017  |       
|                                              | Inter-sector net sales         |                 |        | 213   |               |   |       | 99            |        |   |               | 186   |         |               |      | (498   | )       |   |        |       |       
|                                              |                                |                 |        |       |               |   |       |               |        |   |               |       |         |               |     
|                                              |                                | Total net sales |        | $     | 3,620         |   |       | $             | 3,406  |   |               | $     | 723     |               |      | $      | (498    | ) |        | $      | 7,251  | 
|                                              |                                |                 |        |       |               |   |       |               |        |   |               |       |         |               |     
|Sector operating income (loss)                |                                | $               | 82     | (d)   |               | $ | 266   | (d)           |        | $ | (143          | )(d)  |         | $             | (43  | )(d)   |         | $ | 162    | (d)   
|                                             
|For the Year Ended December 31, 2003          |                                |                 |        |       |               |   |       |               |        |   |               |       |         |               |      |        |         |   |        |       
|                                              | Net sales to GM and affiliates |                 | $      | 8,656 |               |   | $     | 6,554         |        |   | $             | 1,819 |         |               | $    |       |         |   | $      | 17,029 |       
|                                              | Net sales to other customers   |                 |        | 4,702 |               |   |       | 5,959         |        |   |               | 386   |         |               |      | 1      |         |   |        | 11,048 |       
|                                              | Inter-sector net sales         |                 |        | 817   |               |   |       | 412           |        |   |               | 789   |         |               |      | (2,018 | )       |   |        |       |       
|                                              |                                |                 |        |       |               |   |       |               |        |   |               |       |         |               |     
|                                              |                                | Total net sales |        | $     | 14,175        |   |       | $             | 12,925 |   |               | $     | 2,994   |               |      | $      | (2,017  | ) |        | $      | 28,077 | 
|                                              |                                |                 |        |       |               |   |       |               |        |   |               |       |         |               |     
|                                              | Depreciation and amortization  |                 | $      | 529   | (e)           |   | $     | 423           | (e)    |   | $             | 127   | (e)     |               | $    | 41     |         |   | $      | 1,120  | (e)   
|                                              | Sector operating income (loss) |                 | $      | 398   | (c)(d)        |   | $     | 974           | (c)(d) |   | $             | (591  | )(c)(d) |               | $    | (131   | )(c)(d) |   | $      | 650    | (c)(d)
|Sector operating income (loss)                |                                | $               | 10,503 |       |               | $ | 8,716 |               |        | $ | 2,282         |       |         | $             | (435 | )      |         | $ | 21,066 |       
|Capital expenditures                          |                                | $               | 553    |       |               | $ | 393   |               |        | $ | 85            |       |         | $             | 15   |        |         | $ | 1,046  |       
|                                             
|For the Year Ended December 31, 2002          |                                |                 |        |       |               |   |       |               |        |   |               |       |         |               |      |        |         |   |        |       
|                                              | Net sales to GM and affiliates |                 | $      | 9,061 |               |   | $     | 6,941         |        |   | $             | 2,092 |         |               | $    |       |         |   | $      | 18,094 |       
|                                              | Net sales to other customers   |                 |        | 4,271 |               |   |       | 4,855         |        |   |               | 423   |         |               |      | (2     | )       |   |        | 9,547  |       
|                                              | Inter-sector net sales         |                 |        | 867   |               |   |       | 241           |        |   |               | 1,035 |         |               |      | (2,143 | )       |   |        |       |       
|                                              |                                |                 |        |       |               |   |       |               |        |   |               |       |         |               |     
|                                              |                                | Total net sales |        | $     | 14,199        |   |       | $             | 12,037 |   |               | $     | 3,550   |               |      | $      | (2,145  | ) |        | $      | 27,641 | 
|                                              |                                |                 |        |       |               |   |       |               |        |   |               |       |         |               |     
|                                              | Depreciation and amortization  |                 | $      | 478   |               |   | $     | 414           |        |   | $             | 87    |         |               | $    | 23     |         |   | $      | 1,002  |       
|                                              | Sector operating income (loss) |                 | $      | 433   | (f)           |   | $     | 920           | (f)    |   | $             | (378  | )(f)    |               | $    | (75    | )(f)    |   | $      | 900    | (f)   
|Sector assets                                 |                                | $               | 9,530  |       |               | $ | 7,448 |               |        | $ | 2,584         |       |         | $             | 130  |        |         | $ | 19,692 |       
|                                              | Capital expenditures           |                 | $      | 493   |               |   | $     | 469           |        |   | $             | 113   |         |               | $    | 12     |         |   | $      | 1,087  |       






|    |                                                                                                               
|--- | --------------------------------------------------------------------------------------------------------------
|(a) | Other includes activity not allocated to the product sectors and
    elimination of inter-sector transactions.



|    |  |                                                                                                                                                                                                                                              
|--- |  | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(b) |  | Includes the second quarter 2003 legal settlement with a former
    supplier of $38 million.                                                                                                                                                 
|   
|(c) |  | Excludes the Third Quarter 2003 Charges of $76 million for
    Dynamics, Propulsion, Thermal & Interior,
    $103 million for Electrical, Electronics & Safety,
    $292 million for Automotive Holdings Group and
    $26 million for Other.

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|    |  |                                                                                                                                                                                                                                             
|--- |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|(d) |  | Excludes the Fourth Quarter 2003 Charges of $22 million for
    Dynamics, Propulsion, Thermal & Interior,
    $14 million for Electrical, Electronics & Safety,
    $27 million for Automotive Holdings Group and
    $16 million for Other.
|   
|(e) |  | Excludes asset impairment charges recorded 2003 of
    $62 million with $5 million for Dynamics, Propulsion,
    Thermal & Interior, $6 million for Electrical,
    Electronics & Safety, and $51 million for
    Automotive Holdings Group.
|   
|(f) |  | Excludes the 2002 Charges of $97 million for Dynamics,
    Propulsion, Thermal & Interior, $45 million for
    Electrical, Electronics & Safety, $104 million for
    Automotive Holdings Group and $16 million for Other.                  

Liquidity and Capital Resources




Overview of Capital
Structure






Available Credit
Facilities




27



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##### Table of Contents





Other Financing
Transactions











28



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##### Table of Contents





Customer Financing
Programs






Credit Ratings




Cash Flows


Operating Activities.


Investing Activities.


Financing Activities.


29



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Dividends.


Outlook




Forward-Looking
Statements









|        |                                                           
|------- | ----------------------------------------------------------
|ITEM 3. | QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK








|        |                        
|------- | -----------------------
|ITEM 4. | CONTROLS AND PROCEDURES



30



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31



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##### Table of Contents






PART II. OTHER INFORMATION







|        |                  
|------- | -----------------
|ITEM 1. | LEGAL PROCEEDINGS










|        |                                 
|------- | --------------------------------
|ITEM 6. | EXHIBITS AND REPORTS ON FORM 8-K



|        |    |              |  |                                                                                                                                                                                                                                                                           
|------- | -- | ------------ |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|Exhibit |    |             
|Number  |    | Exhibit Name
|        |    |             
|        | 3  | (a)          |  | Amended and Restated Certificate of Incorporation of Delphi
    Automotive Systems Corporation, incorporated by reference to
    Exhibit 3(a) to Delphis Quarterly Report on Form 10-Q
    for the quarter ended June 30, 2002.                                          
|       
|        | 3  | (b)          |  | Certificate of Ownership and Merger, dated March 13, 2002,
    Merging Delphi Corporation into Delphi Automotive Systems
    Corporation, incorporated by reference to Exhibit 3(b) to
    Delphis Quarterly Report on Form 10-Q for the quarter
    ended June 30, 2002.
|       
|        | 3  | (c)          |  | By-laws of Delphi Automotive Systems Corporation, incorporated
    by reference to Exhibit 3.2 to Delphis Registration
    Statement on Form S-1 (Registration No. 333-67333).                                                                                           
|       
|        | 31 | (a)          |  | Certification Pursuant to Exchange Act
    Rules 13a-14(a)/15d-14(a), adopted pursuant to
    Section 302 of the Sarbanes-Oxley Act of 2002.                                                                                                                              
|       
|        | 31 | (b)          |  | Certification Pursuant to Exchange Act
    Rules 13a-14(a)/15d-14(a), adopted pursuant to
    Section 302 of the Sarbanes-Oxley Act of 2002.                                                                                                                              
|       
|        | 32 | (a)          |  | Certification Pursuant to 18 U.S.C. Section 1350,
    adopted pursuant to Section 906 of the Sarbanes-Oxley Act
    of 2002.                                                                                                                                              
|        | 32 | (b)          |  | Certification Pursuant to 18 U.S.C. Section 1350,
    adopted pursuant to Section 906 of the Sarbanes-Oxley Act
    of 2002.                                                                                                                                              







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SIGNATURE




|              |  |                                        
|------------- |  | ---------------------------------------
|              |  | Delphi Corporation(Registrant)         
|             
|             
|June 30, 2005 |  | /s/ John D. Sheehan                    
|              |  |                                        
|              |  | John D. Sheehan                        
|              |  | Acting Chief Financial Officer,        
|              |  | Chief Accounting Officer and Controller

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EXHIBIT INDEX


|        |    |              |  |                                                                                                                                             
|------- | -- | ------------ |  | --------------------------------------------------------------------------------------------------------------------------------------------
|Exhibit |    |             
|Number  |    | Exhibit Name
|        |    |             
|        | 31 | (a)          |  | Certification Pursuant to Exchange Act
    Rules 13a-14(a)/15d-14(a), adopted pursuant to
    Section 302 of the Sarbanes-Oxley Act of 2002.
|       
|        | 31 | (b)          |  | Certification Pursuant to Exchange Act
    Rules 13a-14(a)/15d-14(a), adopted pursuant to
    Section 302 of the Sarbanes-Oxley Act of 2002.
|       
|        | 32 | (a)          |  | Certification Pursuant to 18 U.S.C. Section 1350,
    adopted pursuant to Section 906 of the Sarbanes-Oxley Act
    of 2002.                
|        | 32 | (b)          |  | Certification Pursuant to 18 U.S.C. Section 1350,
    adopted pursuant to Section 906 of the Sarbanes-Oxley Act
    of 2002.