DOWNERS GROVE, Ill., June 18, 2008 (PRIME NEWSWIRE) -- ATC Technology Corporation (ATC) (Nasdaq:ATAC) today announced that it is establishing a new facility in the Czech Republic to better serve its European-based and global Drivetrain customers. The Company's facility will be located on a site owned by Holding Het Zuinden bv, operating as Cross-Line International (CLI). CLI is a leading specialist supplier of medium-volume machined components headquartered in the Netherlands with facilities in the Netherlands, Belgium, Germany and the Czech Republic serving a variety of European OEMs.
In addition to leasing space, CLI will also provide local management support and expertise to ATC in establishing the new facility and will then continue to support on-going operations. Additionally, both companies have agreed to conduct joint marketing initiatives to their complimentary customer bases to support increased growth.
At the formal signing and site commencement ceremony held today at Dubnany in the Czech Republic, attended by local and national government officers and agencies, embassy officers and local press representatives, Don Johnson, Chairman and CEO of ATC said, "Some time ago we identified a need to establish a facility in mainland Europe to better meet current and future customer needs and to improve our competitive position in this important market. We specifically recognized the need to expand our capabilities to satisfy the needs of customers not efficiently reachable from our UK-based facility. By working with CLI and utilizing CLI's experience in the Czech Republic, we will be able to establish our new facility more rapidly and with more confidence than if we were to do so independently. We are planning to remanufacture engines in the new facility early in the first quarter of 2009."
"We are also excited about partnering with CLI on joint marketing programs to attract new business and customers to both companies. Our facility in the UK will continue to support existing customers as we ramp up the new facility, enhance our capabilities to meet key requirements of European and global customers, and reach out to new markets and customers through the CLI relationship, ultimately improving our competitive position in Europe. Over the next two-three years, we expect to invest approximately $6.6 million in this new facility and equipment and expect to hire 59 new employees."
Casper van Leusden, Co-owner and Executive Manager of CLI commented, "We are very excited by this new partnership that will help CLI extend our machining and raw materials sourcing capabilities to new customers across Europe. Our company is serving a variety of OEMs who are active in several industries ranging from transport (heavy duty trucks, lift trucks, trains, earthmoving), to wind energy and infrastructure. Our services are relevant to many of ATC's customers, and we are proud to be able to support ATC's growth strategy by establishing their new facility on our site in the Czech Republic."
About ATC
ATC Technology Corporation is headquartered in Downers Grove, Illinois. The Company provides comprehensive engineered solutions for logistics and refurbishment services to the consumer electronics industries and the light and medium/heavy duty vehicle service parts markets. www.goATC.com
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About Cross-Line International
Cross-Line International, founded in the Netherlands in 1959, manufactures a wide variety of products, including key and safety parts for trucks, windmills and trains, and like components for engines, truck cabins, axels, transmissions, and frame rail levers. The Company also produces several critical components for the construction equipment industry. In addition to its head office in Kerkrade, the Netherlands, Cross-Line has production sites in Belgium, Germany and the Czech Republic, and employs more than 340 people.
Certain statements in this presentation are "forward-looking statements" (as defined in Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934). These forward-looking statements generally include all statements other than statements of historical fact, including statements that are predictive, that depend upon or refer to future events or conditions, or that include words such as "expects", "anticipates", "intends", "plans", "believes", "estimates", "hopes", and similar expressions. In addition, any statements concerning future financial performance or position (including future revenues, expenses, earnings, growth rates or margins), ongoing business strategies, budgets or prospects, and possible future actions are also forward-looking statements. The forward-looking statements contained in this presentation are based on information available to our management as of the date of this presentation, and reflect management's judgments, beliefs and assumptions as of the date of this presentation with respect to future events, the outcome of which is subject to risks and uncertainties that could have a significant impact on our business, operating results or financial condition in the future. Should one or more of these risks or uncertainties materialize, or should underlying information, judgments, beliefs or assumptions prove incorrect, actual results or outcomes could differ materially from those expressed or implied by the forward-looking statements in this presentation. Some of these risks and uncertainties are described in our periodic filings with the Securities and Exchange Commission. We disclaim any intention or obligation to update the forward-looking statements contained in this presentation.
You should review our periodic filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the year-ended December 31, 2007 and our Quarterly Report on Form 10-Q for the three-months ended March 31, 2008. All statements in this presentation are qualified by reference to such filings.