TriMas Corp., parent company of Cequent Performance Products, has reached a preliminary recommendation to shut down its Goshen, Ind., plant, according to TriMas spokesperson Alan Upchurch.
“This is just a preliminary recommendation,” Upchurch said. “The final decision will be made sometime in mid- to late November.”
According to a report in the Goshen News, Upchurch said the Cequent facility in Goshen employs about 450 people. While some of those may be able to transfer to another plant, he was not sure how many or when.
“Every year, the company evaluates growth plans,” Upchurch said. “In the evaluation, they saw the need to make changes to make the business more competitive, which is why there is the preliminary recommendation.”
Employees of Cequent were informed of this recommendation last week, according to Upchurch.
Cequent is a leading designer, manufacturer and marketer of a broad range of accessories for light trucks, sport utility vehicles, recreational vehicles, passenger cars and trailers of all types. Products include cargo management and rack systems, towing and hitch systems and trailer and electrical brake systems. Brands include Bulldog, ROLA, Highland, The Pro’s Brand, Draw-Tite, Reese, Hidden Hitch, Fulton, Wesbar and Tekonsha.
According to TriMas’ website, the parent company had net sales of $1.084 billion in 2011, with 35% of those sales coming from Cequent North America, which includes the Goshen plant. The 2011 net sales were the highest figures for TriMas since 2008, according to the website.
TriMas Corp., parent to RV supplier Cequent Performance Products, announced that Heartland Industrial Associates L.L.C. has agreed to sell 1.5 million shares of its common stock to Deutsche Bank Securities Inc. as the sole underwriter in the registered public offering of those shares.
Streetinsider.com reported that all net proceeds from the sale of the common stock will be received by the selling stockholder. TriMas will not receive any of the proceeds.
The total number of outstanding shares of TriMas common stock will not change as a result of this offering.
TriMas Corp., parent to Cequent Performance Products, will pay down $50 million of long-term principal on senior secured debt notes due in 2017, the company reported in a recent notice to Bank of New York Mellon Trust Co. NA, trustee of the notes.
Crain’s Detroit Business reported that the Bloomfield Hills, Mich.-based manufacturer of engineered and applied products in the energy, aerospace, recreational vehicle and other industries gave that notice under an optional redemption provision of a 2009 indenture governing notes at 9.75% interest.
TriMas expects about $200 million of debt principal will remain outstanding after the redemption. The redemption price will include the principal and interest rate, plus all accrued and unpaid interest as of next month. After the redemption, the company expects to have about $200 million in debt principal remaining on those notes.
On May 2, the company raised $83 million, minus some fees, from an offering of 4 million new shares of stock for “general corporate purposes,” which could include repayment of long-term debt or company acquisitions, according to a recent U.S. Securities and Exchange Commission report. It was unclear whether any funds from that offering were put toward payment on the debt notes.
TriMas Corp. announced it will hold an Investor and Analyst Day at the NASDAQ MarketSite on May 16, beginning at 8 a.m. (Eastern). According to a press release, TriMas will also preside over NASDAQ’s Closing Bell Ceremony the same afternoon.
TriMas’ leadership team, including Tom Benson, president of Cequent Performance Products, will present the company’s growth strategies, strategic goals and financial performance, as well as provide time for questions and answers.
The event will be available to the public via a live webcast. Interested parties may access the event on the internet at http://ir.trimascorp.com/events.cfm. To listen to the live event, please go to the website at least 15 minutes early to register, download, and install any necessary audio software. For those who cannot listen to the live broadcast, a replay, including slides, will be available within 24 hours after the event. The televised closing bell ceremony will be broadcast live via webcast at http://www.nasdaq.com/about/marketsitetowervideo.asx.
For more information about the event or to secure a reservation, please contact Christine Parker at firstname.lastname@example.org or (248) 631-5438.
TriMas Corp., parent to Cequent Performance Products, today (May 2) announced that it is commencing an offering of 4 million shares of its common stock in a public offering.
The underwriters will have a 30-day option from the date of the offering to purchase up to an additional 600,000 shares from TriMas. TriMas expects to use its proceeds from the sale of the common stock for general corporate purposes.
Deutsche Bank Securities and Goldman, Sachs & Co. are acting as the joint book runners for the offering.
TriMas Corp., parent to Cequent Performance Products, reported record sales for its first quarter, ended March 31.
The company posted revenue of $297.6 million, an increase of 15.1% compared to first quarter 2011. Net income during the three-month period was $12.25 million compared to $11.75 in the year prior.
“2012 is off to a solid start as we build upon the positive momentum of the past year,” said David Wathen, president and CEO for Bloomfield Hills, Mich.-based Trimas. “We achieved sales growth of 15.1% during the first quarter, resulting from successful execution of our strategic growth initiatives including bolt-on acquisitions, product innovation, market share gains and geographic expansion. While demand levels started the quarter slowly across several businesses, we saw significantly improved order and shipment levels late in the quarter.”
Net sales for Cequent North America decreased 1.5% compared to the year ago period, resulting primarily from a sales decrease within the Trimas retail channel due to a one-time stocking order for a significant customer in the first quarter of 2011 that did not recur in 2012. First quarter operating profit decreased compared to first quarter 2011 due to lower sales levels, costs incurred to relocate certain production to lower cost countries and increased selling, general and administrative costs, primarily in support of growth initiatives. Trimas said it continues to reduce fixed costs, minimize its investment in working capital, and leverage Cequent’s strong brand positions and new products for increased market share.
To view the entire report click here.
Bloomfield Hills, Mich.-based TriMas Corp., parent of RV supplier Cequent Performance Products Inc., today (Feb. 27) reported record fourth-quarter and full-year sales.
Revenue during the fourth quarter from continuing operations was $259.7 million, an increase of 22.2% compared to fourth quarter 2010. Fourth quarter 2011 income from continuing operations was $7.1 million, or $0.20 per diluted share, as compared to $7.6 million, or $0.22 per diluted share, in fourth quarter 2010.
For the year ended Dec. 31, the company reported sales from continuing operations of just over $1 billion, an increase of 20.1% compared to 2010. TiMas reported full year income from continuing operations of $50.8 million, or $1.46 per diluted share, compared to income from continuing operations of $38.9 million, or $1.13 per diluted share, in 2010.
Other TriMas 2011 highlights:
• Generated 2011 Free Cash Flow of $63.2 million, or more than 115% of income from continuing operations.
• Reduced total indebtedness, net of cash, from $448.3 million as of Dec. 31, 2010, to $381.0 million as of Dec. 31, 2011.
• Refined the business portfolio to support strategic imperatives and drive the highest return for stakeholders by completing three bolt-on acquisitions and selling the precision cutting tool and specialty fittings businesses.
• Refinanced the company’s U.S. credit facilities and amended its accounts receivable facility to reduce interest costs, extend maturities and improve financial and operational flexibility.
The company also announced acquisition of 70% ownership of Arminak & Associates, a leader in the design and supply of foamers, lotion pumps, fine mist sprayers and other packaging solutions for the cosmetic, personal care and household product markets. Arminak will become part of Rieke, within the Packaging segment.
“We are proud of our many accomplishments in 2011, as our balanced and structured approach to growth, productivity and cash generation drove positive results, significantly better than our early expectations,” said David Wathen, TriMas president and CEO. “We achieved sales growth of 20%, resulting primarily from the successful execution of our strategic growth initiatives including product innovation, geographic expansion and bolt-on acquisitions. We remained focused on our productivity and lean initiatives, and we used these savings to fund growth, offset inflation and maintain operating margin in a year of increased growth investment. We generated strong cash flow, managed our operating working capital as a percentage of sales and reduced interest costs. All of these successes, made possible by our dedicated employees, contributed to our earnings growth of approximately 40% on a comparable basis with 2010.”
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TriMas Corp., parent to Cequent Performance Products, announced today (Dec. 1) that Heartland Industrial Associates, L.L.C., has agreed to sell 2 million shares of its common stock to Goldman, Sachs & Co. as the sole underwriter in the registered public offering of those shares.
All net proceeds from the sale of the common stock will be received by the selling stockholder. TriMas will not receive any of the proceeds.
The shares are being sold by the selling stockholder pursuant to an effective shelf registration statement. Goldman, Sachs & Co. may offer the shares of common stock from time to time for sale in one or more transactions on the NASDAQ Global Market, in the over-the-counter market, through negotiated transactions or otherwise at market prices prevailing at the time of sale, at prices related to prevailing market prices or at negotiated prices.
Bloomfield Hills, Mich.-based TriMas Corp., a diversified manufacturer of engineered and applied products and parent to RV supplier Cequent Performance Products, announced that it has received an additional $15 million commitment from Wells Fargo Bank, N.A. under its existing senior secured revolving credit facility.
This increases the company’s total revolving credit capacity under the facility to $125 million.
“The increase in our revolving facility commitments is another important step in the growth of our company and demonstrates the confidence Wells Fargo has in TriMas,” said TriMas CFO Mark Zeffiro. “The increased capacity enhances our available liquidity and will allow us to continue to pursue our long-term growth objectives and strategies, including bolt-on acquisitions and entry into new global markets.”
TriMas Corp. today (Oct. 27) announced record sales for its third quarter, ended Sept. 30, and a 42% increase in net income.
The Bloomfield, Mich.-based company, parent to RV supplier Cequent Performance Products, posted sales of $277.7 million, an increase of 16.8% compared to third quarter 2010. Net income for the period was $17.0 million, a 42% improvement from $12.0 million the year prior, while diluted earnings per share from were 49 cents as compared to 35 cents.
During the third quarter of 2011, the company reported diluted earnings per share of 3 cents related to its precision cutting tool and specialty fitting lines of businesses now classified as discontinued operations and assets held for sale. Third quarter 2011 net income per diluted share was 52 cents, an increase of 40.5% as compared to 37 cents in third quarter 2010.
• Trimas reported sales growth in all six segments compared to third quarter 2010.
• Amended its accounts receivable facility with improved pricing and terms, which, in conjunction with the recent refinance of the company’s U.S. credit facilities, will continue to reduce interest costs, extend maturities and improve financial and operating flexibility.
• Completed the acquisition of Innovative Molding, a technology leader in the design, lining and manufacturing of specialty plastic closures for bottles and jars for the food and nutrition industries.
• Completed two small, bolt-on acquisitions to extend the company’s sales and manufacturing footprint into India and South Africa.
“We achieved our sixth consecutive quarter of double-digit sales and earnings growth, delivered by our continued attention to new product innovation, market share gains, geographic expansion and successful bolt-on acquisitions,” said David Wathen, TriMas president and CEO. “We remain focused on our productivity and lean initiatives, and we will use these savings to fund growth, offset inflation and expand margins. As a result of our 16.8% sales growth and productivity initiatives, we also achieved record third quarter earnings per share from continuing operations of $0.49, an increase of approximately 40% as compared to third quarter 2010.
“We remain positive about TriMas’ ability to outperform the economy, create sustainable operating leverage and generate strong cash flow. Our diverse product portfolio and end markets serve us well, especially during times of economic uncertainty. While we experienced some softness in packaging, which we quickly responded to, we experienced continued strength in our energy and aerospace-related markets. With the uncertain economic environment, we are not assuming any economic tailwinds as we model 2012. We believe we will have to earn every bit of growth and earnings improvement achieved. We are well-positioned to execute on our strategic imperatives throughout the remainder of 2011 and achieve double-digit EPS growth in 2012.”
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