Timken Co. says it will slash 700 jobs, about 5% of its automotive group workforce, as a result of the decline in North American vehicle production.

In announcing the job reductions, the Ohio-based bearings maker also lowers its earnings forecast for the third quarter by $0.20-$0.25 to $0.50-$0.55. It says its full-year earnings likely will fall in the $3.00-$3.15 range.