Foam supplier Lorro has closed doors
DETROIT - Robert Llorens is liquidating his automotive supply company, Lorro Inc., according to documents filed in U.S. Bankruptcy Court in Detroit.
A plant guard at Lorro headquarters said the Detroit operations ceased business last month. The company was a minority-owned supplier of energy-absorbing plastic foam products for automotive bumpers.
Llorens, who is chief executive officer, and his staff did not return numerous calls, nor did his lawyer. Lorro filed for Chapter 7 liquidation April 27.
Lorro supplied General Motors, Ford and Chrysler. There were no supply disruptions because Lorro production was handled by Meridian Automotive Systems Inc., said an executive associated with Meridian who asked for anonymity.
Lorro sold nearly all of its manufacturing assets and a large ownership stake in the company in 1998 to Meridian of Allen Park, Mich. Meridian in April 2005 sought Chapter 11 creditor protection in Bankruptcy Court in Wilmington, Del.
The executive associated with Meridian said Lorro had been reduced to a sales and marketing unit of Meridian. Meridian produced foam for American Bumper & Manufacturing Co., which it purchased in 1978.
Meridian CEO Richard Newsted did not return calls.
Exxon giving up JV share to Mitsubishi
TOKYO - A 19-year polypropylene compounding partnership between ExxonMobil Chemical Co. and Mitsubishi Chemical Corp. is coming to an end.
Tokyo-based Mitsubishi will acquire two plants - one in Jeffersonville, Ind., and another in Singapore - that had operated under the Mytex Polymers name from ExxonMobil of Houston. The Jeffersonville site was opened in 1987, with the Singapore location launching in 2000. No purchase price was disclosed.
In a news release, Mitsubishi officials said rising demand for PP compounds in the automotive market prompted their interest in the deal. According to Mitsubishi, the market for automotive-focused PP compounds is growing at a rate of 6 percent globally. PP compounds often are used in bumpers, electrical and mechanical systems, and interior trim panels.
The Jeffersonville plant is operated by Chemtrusion Inc., a Houston-based compounder.
SMS divisions hope to buy into Kabra
DÜSSELDORF, GERMANY - Two extrusion subsidiaries of Dusseldorf-based SMS GmbH are negotiating to buy a minority stake in Indian extrusion equipment company Kabra Extrusiontechnik Ltd. of Mumbai, India.
Kabra is offering stakes to Battenfeld Extrusiontechnik GmbH of Bad Oeynhausen, Germany, and American Maplan Corp. of Strongsville, Ohio, according to Plastemart.com, a plastics Web portal in India. A Battenfeld official confirmed talks are under way, but he said his company would not provide details until negotiations are concluded, perhaps the week of May 15. American Maplan and Kabra officials were unavailable to comment.
Battenfeld signed a technical collaboration agreement with Kabra in 2000 that was to last until 2007, according to news reports. Plastics News reported in 1997 that Kabra had an extruder technology license with Battenfeld since 1982.
Novik to make some products for Alcoa
ST. AUGUSTIN DE DESMAURES, QUEBEC - Novik Inc. will begin manufacturing certain branded products for Alcoa Home Exteriors Inc. now that the two companies have reached an agreement.
The companies declined to disclose what specific products Novik will make. Novik has both injection molding and extrusion capacity at its plant in St. Augustin de Desmaures.
Novik President Michel Gaudreau said his company has been growing at a clip of about 50 percent per year and expects more of the same for the remainder of 2006.
The publicly traded firm will continue to add capacity and automation, he said. Novik has annual sales of $15 million.
About 70 percent of the company's sales are generated from U.S. consumers, Gaudreau said. The company is exploring the possibility of building a manufacturing plant in the United States, as well as possibly expanding its distribution system.
``There could be acquisitions, too,'' he said. ``We're looking at a lot of different things.''
Alcoa officials could not be reached for comment.