Meritor comletes 2 acquisitions
Meritor Automotive Inc. of Troy, Mich., has completed two acquisitions it announced last year. Meritor concluded the acquisition of Euclid Industries Inc., a Cleveland supplier of aftermarket replacement parts for medium- and heavy-duty vehicles. Euclid posted fiscal 1998 sales of $100 million. Also completed was the $135 million purchase of the heavy-truck axle manufacturing operations and facilities of Volvo Truck Corp. in Lindesberg, Sweden. Meritor posted 1998 sales of $3.8 billion. Meritor has not yet completed its planned purchase of the heavy-vehicle braking systems business of LucasVarity PLC of London.
BEARINGS - General Bearing Corp. has obtained its second contract to supply Ford Motor Co. cars, light trucks and sport-utilities with bearings, in a deal valued at $1.2 mil-lion. The West Nyack, N.Y., company also reached agreements with two producers of truck trailers. They include a five-year contract with Trailmobile Corp. worth $1.8 million in sales this year. A two-year deal with Stoughton Trailers Inc. is expected to generate revenue of $1.2 million annually. General Bearing earlier obtained a two-year, $14 million agreement to supply ball bearings to Ford.
ACQUISITION - Lydall Inc., a Manchester, Conn., supplier of automotive thermal products, has purchased the outstanding stock of Gerhardi & Cie. GmbH & Co. KG. Terms were not disclosed. Gerhardi, a privately held German manufacturer of automotive components, is expected to help Lydall become a global supplier of thermal and acoustical automotive products. Gerhardi has projected sales of about $70 million for 1998 and operates three plants in Germany, where Lydall operates a wholly owned subsidiary.
EARNINGS - Gentex Corp., a Zeeland, Mich., supplier of rear-view mirrors, reported that it expects to exceed analysts' estimates of earnings for the fourth quarter that ended Dec. 31. Gentex expects to report earnings 3 to 4 cents per share higher than the consensus estimate of 19 cents a share. The company reported higher-than-expected net income was the result of increased unit shipments of its automatic-dimming rear-view mirrors and higher gross margins on certain mirror products. Gentex reported net income of $11.2 million, or 15 cents a share, on revenue of $52.6 million for the year-ago fourth quarter.
CONTRACT - Toledo, Ohio-based Dana Corp.'s Asia Pacific subsidiary, Dana Australia Pty. Ltd., has received a contract to supply modules to General Motors subsidiary Holden's Automotive Ltd. Dana expects to supply 200,000 front corner and 100,000 rear driving modules annually for the Australian-manufactured Commodore passenger car. Shipments are slated to begin in January.
CONTRACT - Chopper Express Inc. of Montville, N.J., has received a multiyear agreement from Ford Motor Co. to manage the delivery of aftermarket service parts to more than 500 Ford dealerships throughout the Northeast and Mid-Atlantic regions.
CONTRACT - Motorola Inc. of Northbrook, Ill., has been chosen to provide its TeleAid telematics system for all 2000 model Mercedes-Benz S-class sedans in North America. TeleAid uses wireless communication and global positioning system technologies to offer drivers 24-hour roadside assistance, emergency response and other services. S-class sedans will be available in North America in the spring.
CONTRACT - Oshkosh Truck Corp. of Oshkosh, Wis., was awarded the Phase II contract for the U.S. Marine Corps Medium Tactical Truck Replacement Pro-gram. The initial contract is valued at $49.2 million. It is part of an $853 million, multiyear contract that covers production of 5,666 of Oshkosh's new Medium Tactical Vehicle Replacements - high-performance, all-wheel-drive tactical vehicles with payload capacities of seven tons off-road and 15 tons on-road.
CONTRACT - EMC Test Sys-tems L.P. of Austin, Texas, has received a contract worth more than $20 million from General Motors. EMC will build an electromagnetic compatibility automotive test center for GM in Milford, Mich. The building will house four test chambers and is expected to be completed by November 2001.
OPENING - Accuride Corp. of Henderson, Ky., has opened a 360,000-square-foot plant in Columbia, Tenn. The plant will employ 75 people and will be able to produce 14- to-18-inch light-truck and automotive steel wheels. Initial production runs include wheels for the Ford F-150 pickup, Ford Expedition and Lincoln Navigator.
ACQUISITION - ADAC Plastics Inc. of Grand Rapids, Mich., purchased the Kentwood, Mich.-based door handle and trim division of Dura Automotive Inc. The new operation will be called ADAC - Kentwood Inc.
ACQUISITION - Intermet Corp. of Troy, Mich., purchased Quadion Corp.'s New Hope, Minn.-based Tool Products Division. Tool Products supplies aluminum die castings for the automotive electronics industry. Sales for its 1998 fiscal year, ending Sept. 30, were $67 million.
HONORS - Victor Reinz Valve Seals LLC of Avilla, Ind., has received Ford Motor Co.'s Q1 Award for quality and product support. Victor Reinz Valve Seals supplies more than 90 million valve seals annually. It is a joint venture between Dana Corp. and Kitco Inc.