Johnson Controls Awards Contract to Advantage Technologies
18 June 1998
Johnson Controls Awards $15 Million Contract for Seating Components to Advantage Technologies
Major supplier of automotive interior systems
supports minority-owned firm's launch, growth
PLYMOUTH, Mich., June 18 -- Automotive interior supplier
Johnson Controls has awarded Advantage Technologies a $15 million
contract to supply vehicle seating components. Advantage Technologies is a
thriving, minority-owned company that went from start-up in 1995 to $34
million in expected annual sales for 1998. The Plymouth, Michigan-based
company represents an important success for Johnson Controls and its
innovative efforts to recruit and develop minority-owned suppliers.
Johnson Controls, one of the world's leading manufacturers of automotive
interior systems, has a model program to support minority-owned companies --
and recruit them as key sources of products and services.
In 1995, the company played a "matchmaker" role in the formation of
Advantage Technologies. Officials from Johnson Controls helped forge the joint
venture by initiating a series of meetings between a group led by minority
businessman David Davis -- and Schukra North America, of Windsor, Ontario,
Canada.
The resulting company -- Advantage Technologies -- rapidly has emerged as
an important supplier to Johnson Controls and other customers. Its first major
piece of business was a contract to supply Johnson Controls with components
for Jeep Grand Cherokee seat systems. Advantage recently signed another major
deal with the interior supplier, and -- as a result -- now also is producing
components used in seat systems for Ford Expedition and Lincoln Navigator
sport-utility vehicles.
The latest supply contract will nearly double annual sales for Advantage
Technologies. In 1997, the company achieved sales of approximately
$19 million.
"Our support for Advantage Technologies creates a real benefit for us and
the auto industry overall, because the company is an excellent source of
quality products," said Reginald Layton, minority business development manager
at Johnson Controls. "By developing minority-owned companies, we're
reinforcing our success, building a stronger community, and setting a positive
industry example."
David Davis, who -- as president of Advantage Technologies -- has overseen
its rapid growth, welcomes his company's involvement with Johnson Controls.
"The people there have been instrumental to our successful participation
in the region's most important industry, and I anticipate a continued strong
relationship in the future," he said. "The bottom line is we're able to
enhance the community's economic infrastructure and create jobs for
minorities."
By all measures, Advantage Technologies is a success. The company now
employs 42 people at its Plymouth, Michigan facility. It recently relocated to
a larger site in that city -- to accommodate increased production. And the
company was named "1997 Supplier of the Year" by Johnson Controls.
Advantage Technologies supplies components to two Michigan seating plants
operated by Johnson Controls -- in Taylor and in Plymouth. Among the products
manufactured by Advantage are seat-integrated power lumbar assemblies, seat
system heaters, headrests, armrests and flipper panels.
In recent years, Johnson Controls has been recognized for its industry
leadership in minority supplier development. It has a formal program in place
to recruit and develop minority-owned suppliers, and aims to buy at least 5
percent of its total purchased goods and services from such firms.
The company has established strong business relationships with many
minority suppliers, including Bing Manufacturing, Plastech and Grand Aire
Express. Last September, Johnson Controls was named "Corporation of the Year"
by the Michigan Minority Business Development Council -- for the second year
in a row.
Johnson Controls, Inc., with headquarters in Milwaukee, Wisconsin, USA, is
a global market leader in automotive systems and building controls. Founded in
1885, Johnson Controls had sales of US$11.1 billion in 1997 and operates in
more than 500 locations around the world. See http://www.johnsoncontrols.com for more
information.
The Plymouth, Michigan-based Automotive Systems Group of Johnson Controls
is one of the world's largest suppliers of vehicle interior systems, and is a
major supplier of batteries. In 1998, the company's worldwide operations will
supply interior products for more than 22 million vehicles. The Automotive
Systems Group employs more than 45,000 people at 157 facilities worldwide and
achieved $8 billion in sales for the 1997 fiscal year.
CONTACT: Dave Roznowski of Johnson Controls, 734-254-5632; or David Davis
of Advantage Technologies, 734-459-1366.
Company News On-Call: http://www.prnewswire.com or fax, 800-758-5804,
ext. 473547.
Web site: http://www.johnsoncontrols.com.