Visteon Announces Third-Quarter 2009 Results

The risks and uncertainties and the terms of any reorganization plan ultimately confirmed can affect the value of our various pre-petition liabilities, common stock and/or other securities. No assurance can be given as to what values, if any, will be ascribed in the bankruptcy proceedings to each of these constituencies. A plan of reorganization could result in holders of our liabilities and/or securities receiving no value for their interests. Because of such possibilities, the value of these liabilities and/or securities is highly speculative. Accordingly, we urge that caution be exercised with respect to existing and future investments in any of these liabilities and/or securities. Caution should be taken not to place undue reliance on our forward-looking statements, which represent our view only as of the date of this release, and which we assume no obligation to update. The financial results presented herein are preliminary and unaudited; final financial results will be included in the company's Quarterly Report on Form 10-Q for the fiscal quarter ended Sept. 30, 2009.

Use of Non-GAAP Financial Information

This press release contains information about Visteon's financial results which is not presented in accordance with accounting principles generally accepted in the United States ("GAAP"). Such non-GAAP financial measures are reconciled to their closest GAAP financial measures at the end of this press release.

                           VISTEON CORPORATION AND SUBSIDIARIES
                          CONSOLIDATED STATEMENTS OF OPERATIONS
                      (Dollars in Millions, Except Per Share Data)
                                        (Unaudited)

                            Three Months Ended     Nine Months Ended
                               September 30           September 30
                               ------------           ------------
                              2009      2008        2009       2008
                              ----      ----        ----       ----
    Net sales
      Products               $1,672    $2,010     $4,449     $7,530
      Services                   61       110        205        361
                                 --       ---       ---        ---
                              1,733     2,120      4,654      7,891
    Cost of sales
      Products                1,557     1,968      4,211      7,064
      Services                   60       109        202        358
                                 --       ---        ---        ---
                              1,617     2,077      4,413      7,422
                              -----     -----      -----      -----
    Gross margin                116        43        241        469
    Selling, general and
     administrative expenses     95       138        300        442
    Restructuring expenses       27        42         72        117
    Reimbursement from escrow
     and accommodation
     agreements                   4        39         66         81
    Reorganization items         23         -         30          -
    Deconsolidation gain          -         -         95          -
    Asset impairments and loss
     on divestitures              -        19          -         70
                                ---        --        ---         --

    Operating loss              (25)     (117)         -        (79)
    Interest expense, net         6        38        102        122
    Equity in net income of
        non-consolidated
          affiliates                                    26                  5                  52                  35
                                                                  --                  -                  --                  --

        Loss  before  income  taxes          (5)          (150)              (50)            (166)
        Provision  for  income  taxes      18                31                  63                131
                                                                  --                --                  --                ---

        Net  loss                                        (23)          (181)            (113)            (297)
        Net  income  attributable  to
          noncontrolling  interests        15                  7                  35                  38
                                                                  --                  -                  --                  --
        Net  loss  attributable
          to  Visteon                                $(38)        $(188)          $(148)          $(335)
                                                              ====          =====            =====            =====
        Per  share  data:
        ---------------
        Net  loss  per  share
          attributable  to
          Visteon                                  $(0.29)      $(1.45)        $(1.14)        $(2.59)

        Average  shares
          outstanding  (millions)
        Basic                                          129.4          129.4            129.4            129.5
        Diluted                                      129.4          129.4            129.4            129.5



                                              VISTEON  CORPORATION  AND  SUBSIDIARIES
                                                        CONSOLIDATED  BALANCE  SHEETS
                                                            (Dollars  in  Millions)

                                                                                                          (Unaudited)
                                                                                                          September  30    December  31
                                                                                                                  2009                  2008
                                                                                                                  ----                  ----

                                                                  ASSETS

        Cash  and  equivalents                                                                    $712          $1,180
        Restricted  cash                                                                                102                    -
        Accounts  receivable,  net                                                          1,126                989
        Inventories,  net                                                                              360                354
        Other  current  assets                                                                      224                249
                                                                                                                      ---                ---
        Total  current  assets                                                                  2,524            2,772

        Property  and  equipment,  net                                                    2,039            2,162
        Equity  in  net  assets  of  non-consolidated  affiliates        266                220
        Other  non-current  assets                                                                78                  94
                                                                                                                        --                  --
        Total  assets                                                                                $4,907          $5,248
                                                                                                                ======          ======


                                  LIABILITIES  AND  SHAREHOLDERS'  DEFICIT

        Short-term  debt,  including  current  portion  of
          long-term  debt  and  debt  in  default                                      $136          $2,697
        Accounts  payable                                                                              952            1,058
        Accrued  employee  liabilities                                                      159                228
        Other  current  liabilities                                                            262                288
                                                                                                                      ---                ---
        Total  current  liabilities                                                        1,509            4,271

        Long-term  debt                                                                                    66                  65
        Employee  benefits                                                                            416            1,031
        Deferred  income  taxes                                                                    149                139
        Other  non-current  liabilities                                                    340                365
        Liabilities  subject  to  compromise                                        3,126                    -


        Shareholders'  deficit:
            Preferred  stock  (par  value  $1.00,  50  million
              shares  authorized,  none  outstanding)                                    -                    -
            Common  stock  (par  value  $1.00,  500  million
              shares  authorized,  131  million  shares  issued,
              130  million  and  131  million  shares  outstanding,
              respectively)                                                                              131                131
            Stock  warrants                                                                              127                127
            Additional  paid-in  capital                                                  3,407            3,407
            Accumulated  deficit                                                              (4,852)        (4,704)
            Accumulated  other  comprehensive  income                              201                157
            Other                                                                                                  (5)                (5)
                                                                                                                        --                  --
        Total  Visteon  shareholders'  deficit                                      (991)            (887)
        Noncontrolling  interests                                                              292                264
                                                                                                                      ---                ---
        Total  shareholders'  deficit                                                      (699)            (623)
                                                                                                                    ----              ----
        Total  liabilities  and  shareholders'  deficit                  $4,907          $5,248
                                                                                                                ======          ======



                                                VISTEON  CORPORATION  AND  SUBSIDIARIES
                                              CONSOLIDATED  STATEMENTS  OF  CASH  FLOWS
                                                              (Dollars  in  Millions)
                                                                          (Unaudited)

                                                                                Three  Months  Ended    Nine  Months  Ended
                                                                                        September  30            September  30
                                                                                        ------------            ------------
                                                                                    2009            2008            2009          2008
                                                                                    ----            ----            ----          ----

        Operating  Activities
        Net  loss                                                            $(23)        $(181)        $(113)      $(297)
        Adjustments  to  reconcile  net  loss
          to  net  cash  provided  from
          operating  activities:
              Depreciation  and  amortization                93              102              255            327
              Deconsolidation  gain                                    -                  -              (95)              -
              Asset  impairments  and  loss  on
                divestitures                                                  -                19                  -              70
              Equity  in  net  income  of
                non-consolidated  affiliates,
                net  of  dividends  remitted                    (26)              (4)            (46)          (30)
              Reorganization  items                                  23                  -                30                -
              Other  non-cash  items                                  (9)            (15)            (17)          (58)
        Changes  in  assets  and  liabilities:
              Accounts  receivable  and  retained
                interests                                                  (103)            239            (142)          204
              Inventories                                                  (18)                1                  6            (16)
              Accounts  payable                                        114            (302)              50          (259)
              Other                                                                33              (19)            (79)          (94)
                                                                                        --              ---              ---            ---
        Net  cash  provided  from  (used  by)
          operating  activities                                      84            (160)          (151)        (153)

        Investing  Activities
        Capital  expenditures                                      (29)            (76)            (87)        (230)
        Cash  associated  with  deconsolidation          -                  -              (11)              -
        Proceeds  from  divestitures  and  asset
          sales                                                                      1                  6                  5              65
        Other                                                                        -                  1                  -                5
                                                                                      ---                  -              ---                -
        Net  cash  used  by  investing  activities    (28)            (69)            (93)        (160)

        Financing  Activities
        Short-term  debt,  net                                        (5)            (10)            (24)            24
        Cash  restriction                                                (7)                -            (102)              -
        Proceeds  from  issuance  of  debt,  net
          of  issuance  costs                                              -                  -                56            185
        Principal  payments  on  debt                              -              (46)          (119)          (78)
        Repurchase  of  unsecured  debt  securities    -                  -                  -          (337)
        Other,  including  book  overdrafts                  2              (30)            (56)          (62)
                                                                                      ---              ---              ---            ---
        Net  cash  used  by  financing  activities    (10)            (86)          (245)        (268)
        Effect  of  exchange  rate  changes  on
          cash                                                                      19              (58)              21            (44)
                                                                                        --              ---                --            ---
        Net  increase  (decrease)  in  cash  and
          equivalents                                                        65            (373)          (468)        (625)
        Cash  and  equivalents  at  beginning  of
          period                                                                647          1,506          1,180        1,758
                                                                                      ---          -----          -----        -----
        Cash  and  equivalents  at  end  of
          period                                                              $712        $1,133            $712      $1,133
                                                                                    ====        ======            ====      ======



                                                    VISTEON  CORPORATION  AND  SUBSIDIARIES
                                          RECONCILIATION  OF  NON-GAAP  FINANCIAL  MEASURES
                                                                (Dollars  in  Millions)
                                                                        (Unaudited)


        In  this  press  release  the  Company  has  provided  information  regarding
        certain  non-GAAP  financial  measures  including  "Adjusted  EBITDA"  and
        "free  cash  flow."    Such  non-GAAP  financial  measures  are  reconciled  to
        their  closest  US  GAAP  financial  measure  in  the  schedules  below.


        Adjusted  EBITDA:  Adjusted  EBITDA  represents  net  income  (loss)
        attributable  to  Visteon  before  net  interest  expense,  provision  for
        income  taxes  and  depreciation  and  amortization  and  excludes  asset
        impairments,  non-operating  gains  and  losses,  net  unreimbursed
        restructuring  expenses  and  other  reimbursable  costs,  and  reorganization
        items.  Management  believes  Adjusted  EBITDA  is  useful  to  investors  because
        the  excluded  items  may  vary  significantly  in  timing  or  amounts  and/or  may
        obscure  trends  useful  in  evaluating  and  comparing  the  Company's
        continuing  operating  activities.


                                                          Three  Months  Ended    Nine  Months  Ended
                                                                September  30              September  30
                                                                ------------              ------------

                                                                2009          2008            2009        2008
                                                                ----          ----            ----        ----

        Net  loss                                      $(38)        $(188)        $(148)    $(335)
            Interest  expense,  net              6                38              102          122
            Provision  for  income
              taxes                                          18                31                63          131
            Depreciation  and
              amortization                            93              102              255          327
            Asset  impairments,  loss
              on  divestitures  and
              deconsolidation  gain              -                19              (95)          70
            Restructuring  and  other
              related  costs                          27                42                79            125
            Reimbursement  from  escrow
              and  accommodation
              agreements                                (4)            (39)            (66)        (81)
            Reorganization  items              23                  -                30              -
                                                                  --              ---                --          ---
        Adjusted  EBITDA                        $125                $5            $220        $359
                                                              ====                ==            ====        ====


        Adjusted  EBITDA  is  not  a  recognized  term  under  GAAP  and  does  not  purport
        to  be  an  alternative  to  net  income  (loss)  as  an  indicator  of  operating
        performance  or  to  cash  flows  from  operating  activities  as  a  measure  of
        liquidity.  Because  not  all  companies  use  identical  calculations  this
        presentation  of  Adjusted  EBITDA  may  not  be  comparable  to  other  similarly
        titled  measures  of  other  companies.  Additionally,  Adjusted  EBITDA  is  not
        intended  to  be  a  measure  of  cash  flow  available  for  management's
        discretionary  use,  as  it  does  not  consider  certain  cash  requirements  such
        as  interest  payments,  tax  payments  and  debt  service  requirements.

        Free  Cash  Flow:  Free  cash  flow  represents  cash  flow  from  operating
        activities  less  capital  expenditures.  Management  believes  that  free  cash
        flow  is  useful  in  analyzing  the  Company's  ability  to  service  and  repay
        its  debt,  for  planning  and  forecasting  future  periods  and  as  a  measure
        for  compensation  purposes.


                                                          Three  Months  Ended    Nine  Months  Ended
                                                                September  30              September  30
                                                                ------------              ------------

                                                              2009            2008            2009              2008
                                                              ----            ----            ----              ----

        Cash  provided  from
          (used  by)  Operating
          activities                                $84            $(160)        $(151)          $(153)
        Capital  expenditures              (29)              (76)            (87)            (230)
                                                              ---                ---              ---              ----
        Free  cash  flow                          $55            $(236)        $(238)          $(383)
                                                              ===            =====          =====            =====


        Free  cash  flow  is  not  a  recognized  term  under  GAAP  and  does  not  reflect
        cash  used  to  service  debt  and  does  not  reflect  funds  available  for
        investment  or  other  discretionary  uses.
 



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