Attached files
| file | filename |
|---|---|
| 8-K - NN 8-K 01-06-10 - NN INC | nn8k010610.htm |
EXHIBIT
99.1
RE: NN,
Inc.
2000
Waters Edge Drive
Johnson
City, TN 37604
FOR
FURTHER INFORMATION:
| AT THE COMPANY | AT FINANCIAL RELATIONS BOARD |
| Will Kelly | Marilynn Meek |
| Vice President and Chief Administrative Officer | (General info) |
| (423)743-9151 | (212)827-3773 |
FOR
IMMEDIATE RELEASE
January
7, 2010
NN,
INC. TO CLOSE TEMPE ARIZONA MANUFACTURING FACILITY; APPROXIMATELY 130 EMPLOYEES
IMPACTED
Johnson City, Tenn., January 7, 2010
– NN, Inc. (Nasdaq: NNBR) today announced it will close its manufacturing
facility located in Tempe, Arizona. The Tempe facility which was
acquired in the 2006 acquisition of Whirlaway Corporation had sales of
approximately $12.0 million for calendar year 2009. Whirlaway produces a variety
of high-precision metal components including fluid control components and
assemblies, shafts and other precision metal parts. The closing will impact
approximately 130 employees.
Roderick
R. Baty, Chairman and Chief Executive Officer of NN, commented, “We are saddened
to make this very difficult decision. However, current economic
conditions coupled with the long-term manufacturing strategy for our Whirlaway
business necessitate a consolidation of our manufacturing resources in Ohio. We
anticipate a portion of the current production and products will be consolidated
into our remaining two facilities in Wellington, Ohio. During this transition,
we will work closely with our customers to ensure continuity in the supply of
their products. We expect to incur cash charges of approximately $2.5 million in
severance, equipment relocation and other closing costs during the first three
quarters of 2010.”
Thomas G.
Zupan, President of Whirlaway, said, “We deeply regret having to make this
decision and acknowledge the impact this has on our outstanding employees in
Tempe. For a limited period, we will provide ongoing support in the form of
severance payments, continuation of benefits and assistance in outplacement
efforts. I would like to thank these employees for their commitment and service
to Whirlaway and NN and greatly appreciate their ongoing support during this
time of transition.”
NN, Inc.
manufacturers and supplies high precision metal bearing components, industrial
plastic and rubber products and precision metal components to a variety of
markets on a global basis. Headquartered in Johnson City, Tennessee,
NN has 12 manufacturing plants in the United States, Western Europe, Eastern
Europe and China. NN, Inc. had sales of US $425 million in
2008.
Except for specific historical
information, many of the matters discussed in this press release may express or
imply projections of revenues or expenditures, statements of plans and
objectives or future operations or statements of future economic performance.
These, and similar statements, are forward-looking statements concerning matters
that involve risks, uncertainties and other factors which may cause the actual
performance of NN, Inc. and its subsidiaries to differ materially from those
expressed or implied by this discussion. All forward-looking
information is provided by the Company pursuant to the safe harbor established
under the Private Securities Litigation Reform Act of 1995 and should be
evaluated in the context of these factors. Forward-looking statements generally
can be identified by the use of forward-looking terminology such as
“assumptions”, “target”, “guidance”, “outlook”, “plans”, “projection”, “may”,
“will”, “would”, “expect”, “intend”, “estimate”, “anticipate”, “believe”,
“potential” or “continue” (or the negative or other derivatives of each of these
terms) or similar terminology. Factors which could materially affect actual
results include, but are not limited to: general economic conditions and
economic conditions in the industrial sector, inventory levels, regulatory
compliance costs and the Company's ability to manage these costs, start-up costs
for new operations, debt reduction, competitive influences, risks that current
customers will commence or increase captive production, risks of capacity
underutilization, quality issues, availability and price of raw materials,
currency and other risks associated with international trade, the Company’s
dependence on certain major customers, the successful implementation of the
global growth plan including development of new products and consummation of
potential acquisitions and other risk factors and cautionary statements listed
from time to time in the Company’s periodic reports filed with the Securities
and Exchange Commission, including, but not limited to, the Company’s Annual
Report on 10-K for the fiscal year ended December 31, 2008.
###