Genuine Parts Company Completes Acquisition of Johnson Industries, Inc.
6 January 1999
Genuine Parts Company Completes Acquisition of Johnson Industries, Inc.
ATLANTA--Jan. 6, 1998--Genuine Parts Company . Larry Prince, Chairman of the Board of Directors of Genuine Parts Company, announced today the completion of the previously announced acquisition of Johnson Industries, Inc. ("Johnson"). Genuine Parts Company acquired Johnson in exchange for a combination of cash and Genuine Parts Company stock. Genuine Parts expects to pay $20 million to $40 million, based upon Johnson reaching certain earnings targets.
Johnson Industries, founded in 1924, is an Atlanta, Georgia based company with distribution facilities in Atlanta, Harrisburg, Pennsylvania, and Dallas, Texas, as well as small operations in Santiago, Chile and Monterrey, Mexico. Johnson stocks 50,000 SKU's and sells primarily to large fleets and new car dealers. Johnson is an industry leader with annual sales volume of approximately $120 million.
Genuine Parts Company, headquartered in Atlanta, Georgia, is engaged in the distribution of automotive replacement parts from 62 NAPA Distribution Centers serving approximately 5,600 NAPA Auto Parts Stores nationwide, in Canada through its joint venture, NAPA/UAP, and in Mexico through its joint venture, Grupo Auto Todo. The company also distributes industrial replacement parts in the U.S. and Canada through its Motion Industries subsidiary, office supply products nationwide through its office products subsidiary, S.P. Richards Company, and electrical and electronic products through its EIS, Inc. subsidiary.
Mr. Prince stated, "We believe the acquisition of Johnson offers us significant growth opportunity, and we are pleased to be associated with such a fine organization. We look forward to the contributions Johnson will make to our growth."
Johnson Chairman, Buddy Johnson, stated, "GPC brings a wealth of resources to Johnson that will enable us to achieve our aggressive growth objectives."
Various statements in this release may constitute forward-looking statements. Actual results may differ materially from those indicated as a result of various important factors, which are discussed in Genuine Parts Company's most recent Annual Report on Form 10-K, and other filings with the Securities and Exchange Commission.