| Ewing Management
Group Led Team Announces Agreement to Buy Remaining
Stock of Key Automotive Group of Companies
B. Edward Ewing, Chairman and CEO
of the Ewing Management Group (EMG), announced today
that an EMG-led team has signed a definitive agreement
with affiliates of The Carlyle Group and Lightyear Capital
to acquire the stock of the affiliates of the Key Automotive
Group which it did not previously own. The Key Automotive
Group affiliates include Key Plastics, LLC and Key Safety
Systems, Inc. The transaction is scheduled to close
in September 2004 and is being funded entirely by new
equity provided by the EMG-led team.
In announcing the transaction, Mr.
Ewing said: “Our acquisition of the stock of Key
Plastics and Key Safety Systems is a further affirmation
of our commitment to the automotive industry as owners
and operators. We have made great strides in improving
the operations, delivery, customer satisfaction and
financial stability of Key Plastics and Key Safety Systems,
and this acquisition by an EMG–led team reflects
our continued focus on strengthening the leadership
positions of these companies over the long term.”
Mr. Ewing added: “As part of
this transaction, both I and the management teams of
EMG, Key Plastics, and Key Safety Systems will directly
provide significant amounts of new equity for these
two KAG companies. Our customers, employees, suppliers
and shareholders will all be well served by this close
alignment of shareholders and company managers.”
Mr. Ewing is currently Chairman and
Chief Executive Officer of both Key Plastics and Key
Safety Systems and he will continue in those roles.
About Key Automotive Group
The Key Automotive Group of
companies is an affiliation of premier suppliers of
components and systems to the global automotive industry.
The Key Automotive Group of companies currently generate
more than $1.6 billion in sales and employ more than
14,000 employees in state-of-the-art technical and manufacturing
facilities in 15 countries in North America, Europe
and Asia.
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 term 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, 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
when the company was acquired by a group of investors
in April 2001.
Key Safety Systems Inc. is a
leading global designer and manufacturer of safety-critical
components and systems, including airbags, seat belts
and steering wheels. Key Safety Systems’ products
are used in more than 300 vehicle models produced by
over 45 automobile manufacturers worldwide. Key Safety
Systems’ global reach comprises 32 manufacturing
technical and sales facilities in 12 countries. The
company generates over $1 billion in sales and employs
more than 10,000 people in North America, Europe and
Asia. Key Safety Systems was acquired by a group of
investors in April 2003.
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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