Law firm Stahl Cowen Crowley LLC, counsel to Dana Corp's retiree committee, said the autoparts maker agreed to set up a trust to fund retiree benefits. As a part of a settlement, Dana will pay for retiree benefits for non-union retirees through July 1 and will contribute $78 million to fund the trust, the Chicago-based law firm said in a statement.

The company will also pay for the cost of setting up the trust and will work with the retiree committee to explore offering life insurance conversions when and if the underlying policies allow for conversions.