Delphi Automotive & Regal Plastics do a Strategic Team Up
11 May 2000
TROY, Mich. - Delphi Automotive Systems and Regal Plastics Company today
announced that they will form an industrial partnership to jointly seek expanded
business opportunities in the automotive interiors market. Regal Plastics
Company is a wholly-owned subsidiary of Regal Holding Company, a Minority
Business Enterprise managed by majority owner, William F. Pickard, and based in
Roseville, Michigan.
James A. Bertrand, vice president, Delphi Automotive Systems and president
of Delphi Interior Systems said the strategic alliance broadens Delphi's
minority supplier base and competitive ties and expands and develops Regal
Plastics' business and technical capabilities.
"Regal Plastics is already recognized for its world class interior trim
and underhood components produced for such automotive industry leaders as Ford
Motor Company, General Motors Corp. and Toyota," Bertrand said. "This
alliance brings Delphi's product technologies and business processes into the
equation to further develop Regal's existing strengths. Together, we will be
able to present our expanded capabilities to a broader set of customers."
"The Regal leadership team is excited about this strategic alliance with
Delphi Automotive Systems," said William F. Pickard, Regal Plastics Company
chairman and chief executive officer. "The partnership provides a unique
opportunity for the entire Regal family to benefit from Delphi's business
processes and systems technology expertise. Our team of dedicated employees,
who strive diligently to help Regal reach its fullest potential as a quality
supplier, is eager to begin this relationship, which will increase
opportunities for both companies."
Last year Delphi purchased $460 million dollars in goods and services from
minority suppliers, or about 5 percent of its total. U.S. automakers have
targeted approximately 5 percent of their purchases to come from minority
business enterprises.
In response, Delphi has been actively working more closely with, and
developing, minority-owned firms. Examples include its recently announced
participation in the M-Xchange, an online marketplace for minority business
entrepreneurs and the annual Delphi-sponsored Matchmaker Conference that has
generated over $83 million in awarded contracts to minority businesses.
"This is a great example of the partnering opportunities that General
Motors actively encourages in our Tier 1 supplier community," said J. David
Allen, General Motors Director of the Worldwide Purchasing Supplier Diversity
Group. "Strategic alliances between Tier 1 and Tier 2 suppliers will broaden
their combined competitive capabilities, while strengthening and developing
the competitiveness of minority suppliers in a global purchasing arena."
General Motors spent over $2.2 billion or 5% of its total outside
purchases in the United States from minority suppliers in 1999. In addition,
GM suppliers participating in the company's Tier 1/Tier 2 Supplier Diversity
program reported purchases from minority suppliers in excess of $1.1 billion
for the year, Allen said.
Regal Plastics Company manufactures a range of interior decorative and
functional components and powertrain decorative & functional components. Its
primary processes include gas assist injection molding, two-stage injection
molding, and insert injection molding.
Delphi Automotive Systems, with headquarters in Troy, Mich., USA, is a
world leader in automotive component and systems technology and the leader in
automotive interiors. Delphi's three business sectors -- Dynamics &
Propulsion; Safety, Thermal & Electrical Architecture; and Electronics &
Mobile Communications -- provide comprehensive product solutions to complex
customer needs. Delphi has approximately 213,000 employees and operates 176
wholly owned manufacturing sites, 41 joint ventures, 53 customer centers and
sales offices, and 30 technical centers in 38 countries. Regional
headquarters are located in Paris, Tokyo and Sao Paulo.