Wynn's-Precision Inc. bought a 90,000-square-foot molding facility in Springfield, Ky., for an undisclosed price Sept. 30. The plant, acquired from Lawson Mardon Wheaton Inc., manufactures thermoplastic elastomer boots for the automotive industry and posts annual sales of about $14 million, according to Precision President John Huber.
Precision has offered to retain the Springfield plant's entire staff of 150-160 workers, he said.
The new business ``will augment Precision's plastic seal manufacturing capacity in this growing segment of our business,'' said James Carroll, president and chief executive officer of Precision's parent company, Orange, Calif.-based Wynn's International Inc.
``I think we got a real good match. A real good fit,'' Huber said.
Precision, headquartered in Lebanon, Tenn., manufactures rubber and plastic products such as O-rings, gaskets, custom engineered seals, boots and bellows, and other custom molded seals.
The Springfield facility supplies boots to General Motors Corp., Ford Motor Co., TRW Inc. and GKN Automotive Inc. While Precision also serves those customers, this will expand its product offerings to them, Carroll said.
Huber said his company has more to offer the plant, since the previous owner primarily dealt in bottling and had little experience with the auto industry. The Springfield plant will be integrated into Precision and its products taken globally, Huber said.
Precision posted sales of $151 million in 1995, with auto sales representing about 55 percent of its revenue and overall transportation sales representing about 82 percent, Huber said. Nearly 100 percent of its auto sales are in original equipment to auto makers and Tier 1 suppliers, Huber said. The company's other markets include aerospace, appliance and hydraulics.
Last year, Wynn's virtually eliminated all of its interest-bearing debt, allowing it to grow faster both internally and through acquisition, Huber said. Precision has not made an acquisition in recent years, but now is looking at other companies ``to expand our rubber line,'' he said.
With average annual sales growth of 15 percent during the past three years, Precision also has added capacity at all eight of its operations through capital investments in equipment, he said.
The 1,300-employee company owns four plants in Tennessee as well as facilities in Houston; Lynchburg, Va.; Tempe, Ariz.; and Orillia, Ontario.
A big boost has come from Precision's line of composite gaskets for intake manifolds, manufactured in Lynchburg, Huber said.
He said the company supplies the gaskets for 70-80 percent of Ford and GM's intake manifolds.
The composite gaskets consist of plastic with a silicone rubber bead and replace paper-laminated and silk-screened products.
Precision is the only member of Wynn's Automotive Components Division since Wynn's sold its Wynn's Climate Systems Inc., a supplier of auto air conditioning products, earlier this year.
The division reported a 3 percent rise in sales during the first half of 1996 due primarily to higher sales of the composite gasket product line.Overall, Wynn's International reported net profit of $15.4 million last year on sales of $303.8 million. Sales for the first half of 1996, ended June 30, rose 8 percent to $143.3 million from the same period in 1995.