National-Standard Awarded Major Weld Wire Contract by Magna International
16 December 1997
National-Standard Awarded Major Weld Wire Contract by Magna International
NILES, Mich., Dec. 16 -- National-Standard Company
today announced the Company has signed a contract with Magna
International, Inc. , a diversified supplier of systems,
components, and frames to manufacturers of cars and light trucks
internationally. Under the terms of the agreement, National-Standard will
supply Magna in excess of $25 million in weld wire over a five-year period.
"This contract represents a significant weld wire order for our company,"
said Michael Savitske, President and Chief Executive Officer of National-
Standard. "The market continues to value National-Standard's ability to
supply weld wire that provides superior performance based on ease of use,
reduced downtime and improved weld quality. Throughout our 90-year history,
we have focused on satisfying the changing needs of our customers. Innovative
products, such as our Tru-Trac(TM) weld wire bulk package system, are examples
of National-Standard's commitment to its customers."
Shipments are expected to begin in March 1998 from the Company's
facilities in Niles, Mich., and Guelph, Ontario, Canada. Although the volume
anticipated over the period is expected to reach $25 million, actual shipments
will depend on the auto industry's requirements for frames, which could change
over time. The Company is investing approximately $6 million for the capacity
required to satisfy the Magna requirement as well as anticipated growth in the
weld wire market.
Magna, one of the most diversified automotive suppliers in the world,
designs, develops and manufactures automotive systems, assemblies and
components, primarily for sale to original equipment manufacturers, including
frames for cars and light trucks in North America, Mexico, and Europe.
Magna's products include exterior decorative systems; interior products,
including seating systems, door and other panels; sound insulation systems;
stamped and welded metal parts and assemblies; sunroofs; electromechanical
devices and assemblies; various engine, powertrain, and fueling and cooling
components; and a variety of plastic parts, including body panels and fascias.
Founded in 1907, National-Standard is a Niles, Mich.-based firm with
annual sales of approximately $250 million. In nine operating facilities
throughout the world, the Company manufactures and distributes a broad range
of wire and wire-related products, including tire bead wire and welding wire,
in addition to wire cloth and fabricated filters for the automotive air bag
industry.
This press release may contain forward-looking statements as defined under
the Private Securities Litigation Reform Act of 1995. Cautionary statements
accompanying these forward-looking statements are set forth, along with this
release, in a Form 8-K filed with the Securities and Exchange Commission.
SOURCE National-Standard Company