Axis Group Affiliate to Purchase Brazilian Car Hauling Business
31 January 2001
Axis Group Affiliate to Purchase Brazilian Car Hauling Business
Axis Group International Presence Expands;
Affiliate Will Become One of Largest Car Haulers in Brazil
DECATUR, Ga., Jan. 31 Axis Group, Inc. (Axis), a wholly
owned subsidiary of Allied Holdings, Inc. , announced today that
its Brazilian affiliate Axis Sinimbu Logistica Automotiva Ltda. has purchased
Translor Veiculos Ltda., the auto carriage portion of Ryder System, Inc.'s
Brazilian operations. Terms of the acquisition, completed by Axis Sinimbu
with the assistance of Brazilian lenders, were not disclosed.
Axis Sinimbu was formed in 1998 to operate Axis Group's business interests
in Brazil. Based in San Paulo, the company is one of the country's largest
vehicle transportation companies and hauled approximately 270,000 vehicles
last year. Combined with Translor's volume of approximately 200,000
transported vehicles in 2000, the acquisition is expected to make Axis Sinimbu
the second largest vehicle transportation group in Brazil. Axis Sinimbu also
provides complete supply chain logistics services for the Brazilian automotive
marketplace.
"This acquisition will allow our partnership to grow and strengthen our
vehicle delivery, logistics and distribution business in the Brazilian
automotive marketplace," said Jack Gross, president of Axis Group. "We will
merge the Translor vehicle distribution operations with our existing
facilities and will be able to offer more comprehensive services to our
Brazilian customers."
In addition, the acquisition expands Axis Group's international service
capabilities. As the global management arm of Allied Holdings, Axis Group
currently has operations in the United States, Canada, Mexico, Brazil, South
Africa, Europe, and the United Kingdom. Axis Group provides logistics
solutions and services to the automotive industry, with a primary focus on
outbound finished vehicle distribution and related activities.
Allied Holdings, Inc. is the parent company of several subsidiaries
engaged in providing logistics, distribution and transportation services to
the automotive industry. The services of Allied's subsidiaries span the
entire finished vehicle distribution continuum, and include logistics, car-
hauling, intramodal transport, inspection, accessorization, and dealer prep.
Allied, through its subsidiaries, is the largest company in North America
specializing in the delivery of new and used vehicles in the global
marketplace.
Statements in this press release that are not strictly historical are
"forward-looking" statements. Investors are cautioned that such statements
are subject to certain risks and uncertainties that could cause actual results
to differ materially. Without limitation, these risks and uncertainties
include economic recessions or downturns in new vehicle production or sales,
the highly competitive nature of the automotive distribution industry,
dependence on the automotive industry, labor disputes involving the Company or
its significant customers, the dependence on key personnel who have been hired
or retained by the Company, the availability of strategic acquisitions or
joint venture partners, changes in regulatory requirements which are
applicable to the Company's business, risks associated with conducting
business in foreign countries, and changes in vehicle sizes and weights which
may impact vehicle deliveries per load. Investors are urged to carefully
review and consider the various disclosures made by the Company in this press
release and in the Company's reports filed with the Securities and Exchange
Commission.