| Key Plastics to Acquire
Kendrion’s Automotive Plastics Businesses
Dallas, TX –
B. Edward Ewing, Chairman and CEO of the Key Plastics,
LLC announced today that the Ewing Management Group’s
Key Plastics has completed a definitive agreement to
acquire Kendrion’s RSL and Systems groups of companies.
With more than $250 million in sales, the Kendrion businesses
are leading Europe-based suppliers of engineered and
value-added automotive plastics parts and assemblies.
RSL and Systems groups’ products are used in interior,
exterior and under-the-hood applications. The acquisition
is expected to close by September 9, 2004.
In announcing the acquisition, Mr.
Ewing said: “The acquisition of Kendrion’s
Automotive Plastics Group represents an exciting step
forward for Key Plastics. After completion of this deal,
Key Plastics will be a global plastics company with
$750 to $800 million in sales.”
Mr. Ewing added: “When we acquired
Key Plastics out of bankruptcy more than three years
ago, we were determined to create a financially strong
and operationally excellent company. Since April 2001,
the management team has received significant recognition
for improving the performance of Key Plastics. We also
acquired the assets of Soo Plastics and Regal Plastics,
two other underperforming plastics companies. By focusing
relentlessly on cost, schedule, quality, innovation
and customer support, we have created a leading plastics
platform serving our global customers.”
Kendrion’s RSL and Systems groups
produce market-leading products and are highly synergistic
with Key Plastics. “The businesses we are acquiring
have excellent technologies, products and employees.
We will integrate these businesses into Key Plastics
and implement the same management techniques applied
at Key Plastics. Our management team will begin work
immediately with the RSL and Systems groups’ management
teams, employees, suppliers and customers to ensure
these businesses remain on a strong foundation for long-term
success and to better serve our customers.”
With the acquisition of Kendrion’s
RSL and Systems groups, the Key Automotive Group of
affiliated companies will have $2 billion of global
sales.
About Key Plastics
Key Plastics is a leading supplier of plastic products
to the automotive and light truck Tier 1 and OEM markets.
Key Plastics engineers and produces value-added components
and sub-assemblies for exterior applications, interior
trim and functional under-hood products. Key Plastics’
global operations comprise 21 manufacturing facilities,
3 technical centers and two mold-making facilities providing
concurrent program management and production services
throughout North America and Europe and Asia. With over
$500 million in global sales annually, Key Plastics
employs over 4,500 people. Mr. Ewing became Chairman
and CEO of Key Plastics in April, 2001, when the company
was acquired out by Carlyle Management Group. Key Plastics
is an affiliate of the Key Automotive Group and is controlled
by an investment group led by the Ewing Management Group.
The Key Automotive Group of companies
comprises suppliers of components and systems to the
global automotive industry. The Key Automotive Group
of companies collectively generates more than $1.7 billion
in sales and employ approximately 14,000 employees in
state-of-the-art technical and manufacturing facilities
in 15 countries in North America, Europe and Asia.
About Kendrion’s Auotmotive
Plastics Group
Kendrion’s RSL and Systems groups employ more
than 1800 people in seven facilities in Europe. They
supply parts to leading global OEMs and Tier 1s. Major
customers include Volkswagen, Opel, Seat and DaimlerChrysler,
as well as many others. The groups operate 4 facilities
in Germany and also have operations in Portugal, Spain,
and the Czech Republic. Core products include consoles,
sunroof and tailgate covers, headrests, handles, ashtrays,
and many others. The operations generate more than $250
million in sales.
About Ewing Management Group
Based in Dallas, Texas, the Ewing Management Group is
focused on acquiring and managing underperforming companies
in manufacturing or asset-intensive industries. Ewing
Management Group was formerly the Carlyle Management
Group, an affiliate of The Carlyle Group.
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