New Union Contract Ratified At Gunite Corporation Subsidiary

26 July 1999

Transportation Technologies Industries; New Union Contract Ratified At Gunite Corporation Subsidiary

    CHICAGO--July 23, 1999--Transportation Technologies Industries, Inc. announced today that a new four-year collective bargaining agreement with Teamsters Local 364 covering employees at one of its Elkhart, Indiana plants of its Gunite Corporation subsidiary was ratified yesterday. The prior agreement expired at midnight on June 27, 1999 and Gunite's employees have been on strike since that time.
    Thomas M. Begel, chairman, president and chief executive officer of the Company, said "We are pleased that Gunite has reached a new mutually satisfactory four-year agreement with its valued employees. We are also pleased that during the strike Gunite was able to continue to operate and serve its customers without serious disruption. We estimate that the strike will have a one-time pre-tax earnings impact of $2 million to $2.5 million ($1.2 million to $1.5 million after-tax), or approximately 12 to 15 cents per share."
    Transportation Technologies Industries, Inc. is a leading manufacturer of components for heavy-duty and medium-duty trucks and buses and the truck parts aftermarket. Product lines include: Gunite wheel-end components; Brillion custom iron castings; Imperial body and chassis components; Bostrom truck and bus seating systems; and Fabco steerable drive axles and gearboxes. The company is headquartered in Chicago, Illinois and has manufacturing operations in Alabama, California, Illinois, Indiana, Pennsylvania, Tennessee, Texas, Washington and Wisconsin.