U.S.
Begins to Pay Dividends for Ultraframe
Ultraframe Plc, the specialist designer of conservatory systems in Europe and North America, recently announced preliminary results for the 53 weeks ended 1st October 2004 (2003: 52 weeks). Results include prudent provision for an exceptional item of £5.3m, charged in respect of the US litigation announced on 3rd September.
*
UK sales in the year were down 18.7% compared with the prior year, as
indicated in the October trading statement. Pressure on margins continues
and the UK market remains volatile and competitive
* In North America, core sunroom dollar sales for the year were 4.5% up
on the prior year. A 4.7% decline in sales in the franchise network was
counter balanced by very strong growth in the nascent Company-owned retail
stores with sales almost doubled
* Operating cash flow of £22.8m (2003: £30.6m) remained strong;
net debt reduced to £6.5m (2003: £8.3m)
* Results include prudent provision for an exceptional item of £5.3m,
charged in respect of the US litigation announced on 3rd September
Dividend
* Proposed final dividend of 7.86p held in line with last year, as previously
indicated
* In 2005, the board intends to return to its stated policy to pay a full
year dividend that is around twice covered by earnings before goodwill
amortisation and exceptional items
Rod Sellers, Chairman, commented:
'Whilst the Group results are in line with the statement we made in August,
the past year has clearly been disappointing in terms of operational performance.
The business, however, is being repositioned and the board has been, and
will continue to be, determined to effect the necessary changes in business
operations to respond to the challenges we face.
'In the UK, our recently appointed managing director has employed new
management and initiated a cost reduction programme to help mitigate the
effects of a continuing decline in sales. The strategy going forward includes
faster new product development, especially for the growing budget segment
of the market. It focuses the team on building stronger customer relationships,
and targets investment in sales and marketing to strengthen existing channels
to market and identify new ones. In North America, the franchise network
performance has been disappointing as the newer franchisees take time
to build their sales, and the business is now being managed to control
overheads in a period of lower than expected growth. The programme to
open retail stores is also being rephased for the coming year to reflect
the economic realities of Four Seasons’ recent trading performance,
but these Company-owned stores continue to deliver strong sales growth
and the board remains convinced that they build brand awareness and bring
us closer to consumers.
'In the new financial year, the competitive environment in the UK remains
challenging and we do not expect that it will improve in the first half,
while in North America a modest improvement is expected as the operational
improvements take effect and the newer retail stores generate further
sales growth. We expect the Group to deliver a small underlying pre-tax
loss in the first half, but to show an improvement in trading in the second
half, as the planned operational initiatives in the UK and North America
gather momentum. Overall, the rate of decline in profitability before
goodwill and exceptionals in 2005 should be less than in 2004.'
You can download the full results statement here
(a 192K PDF)
Help
the Tsunami Victims with your Old Mobile!
Victims
in tsunami-stricken areas are set to receive a helping hand through the
recycling of old mobile phones and printer cartridges.
The recent earthquake off the coast of Sumatra has led to an estimated
150,000 deaths, with thousands more injured or forced to flee their homes
- and leading recycling company Eurosource has launched a nationwide appeal
to help.
The company, which specialises in running charity recycling appeals, has
pledged to swap old mobiles and printer cartridges for cash which will
go straight to the Disasters Emergency Committee (DEC). This umbrella
organisation is responsible for co-ordinating the UK's national appeal
in response to major overseas disasters.
If you received a new mobile phone for Christmas, you have the power to
help by simply donating your old one to the appeal. And if you work in
an office, don't bin those old cartridges - they too can help.
John Speake, chairman of Eurosource, said: 'This is the biggest earthquake
for 40 years, causing a tsunami which spread thousands of kilometres and
left a massive path of destruction.
'Images of the disaster have shocked the people of the UK, and I am inviting
them to help by donating items which are often regarded as rubbish. Don't
bin your old phones and cartridges - send them to us and we'll ensure
that cash from each item recycled goes straight to the DEC.
'Eurosource specialises in raising money for charities, and has raised
almost £1.5million since its inception in 1999. This sum has been
shared between reputable charities including Marie Curie Cancer Care,
the Roy Castle Lung Cancer Foundation and the Royal National Institute
of the Blind, and I hope that we can have as much success bringing in
funds to donate to the DEC.'
Different mobiles and cartridges are worth different sums of money depending
on various factors, like model, age and condition. Eurosource has created
a dedicated website where you can find out which mobiles and cartridges
can be recycled, and how much will be given to the DEC for each one -
http://www.recyclingappeal.com/tsunami.
If you want to help the Tsunami Recycling Appeal, all you have to do is
call 08712 50 50 50 for a freepost bag. Drop your old phones and cartridges
in the bag and pop it in the post - easy!
As well as helping this worthwhile cause, you'll be helping the environment
by preventing these items from ending up in landfill sites where they
can cause pollution. So what are you waiting for? Phone for a freepost
bag today.
Laird
Trading Update points to Positive 2004
The
Laird Group PLC recently issued a Trading Update prior to the end of its
financial year on 31st December 2004.
Results for the year are expected to be in line with market estimates,
giving another year of strong earnings growth despite the adverse translation
effects of exchange rate movements and the impact of higher commodity
prices.
In the second half of 2004 to date we have seen good underlying turnover
growth (at constant exchange rates and assuming acquisitions were owned
for the whole of the comparable periods) in both of our divisions compared
with the same period in 2003.
In Laird Technologies the market recovery has been maintained. Year on
year growth in the second half was in line with our expectations, although
below that seen in the first half of the year due to the timing of the
recovery which began during the second half of 2003.
The integration of Centurion is progressing as planned, and the projected
synergy cost savings announced at the time of the acquisition have been
reconfirmed.
The business has met its targets in the period since its acquisition on
5th October 2004. Centurion is in line to deliver year on year growth
in 2004 of over 20% in total turnover expressed in US Dollars. The number
of cellular handset antennae shipped in 2004 is expected to be approximately
140 million, almost 20% higher than in 2003.
In Laird Security Systems, our US business has continued to experience
good turnover growth. In the UK, the window hardware market has been weak,
but this has been more than compensated by buoyant turnover growth in
other market segments, particularly door hardware and composite doors.
The integration process following the acquisition of the Home Doors (GB)
and Houseproud businesses in September 2004 has proceeded according to
plan with improved deliveries and reduced costs.
In Laird Plastics, performance was as planned through to its divestment
on 1st October 2004.
Since the Interim Results were announced on 3rd August 2004, Laird has
taken further steps to strengthen its sound financial structure by completing
a US Private Placement for $140 million, of which $97 million runs to
2014 and $43 million to 2016. These facilities add to the Group's £165
million of bilateral facilities which run to July 2008 and its existing
US Private Placement loan notes totalling $61 million which expire at
various dates through 2014.
Laird has announced that Martin Rapp, President and CEO of Laird Technologies,
joined the Board on 1st January 2005 as an Executive Director.
Peter Hill, Chief Executive of Laird, said:
'Laird has made further significant progress during 2004. We have successfully
taken actions to reposition the Group further to higher growth markets
in line with our strategy, and have strengthened and developed our businesses.
In our Interim Report in August we stated that we intended to deliver
another strong performance in the second half of this year. We are well
on track to achieve this.'
End
of an Era for Silver End Site as Laird Shifts Production
Laird
Security Hardware has announced that it is undergoing a process of restructuring
its manufacturing facilities by switching the majority of the remaining
production processes for window products from Essex to other factories
in the UK and overseas.
The restructuring is part of Laird Security Hardware’s longer-term
plan of investment in new technology and product focussed manufacturing
plants. The company has also established partnership agreements with other
leading branded manufacturers to provide one of the most comprehensive
product ranges in the market today.
To support the changes, LSH has invested in warehousing operations in
the key distribution centres in the West Midlands, Boroughbridge and Falkirk.
Additional storage facilities and inventory has been put in place and
this is being supported by new forecasting and inventory management systems
to ensure that the right mix of product is always available.
Laird Security Hardware’s design, development and UKAS accredited
testing expertise will be maintained at its site in Essex together with
customer support services including sales, engineering and distribution.
Commenting on the change, Peter Rowlands Managing Director said, ‘These
changes will strengthen our ability to service customer demand in the
highly competitive hardware market
‘The restructuring of the manufacturing side of our business is part
of our on-going plan to develop our position as leaders in the key sectors
of the window and door hardware market. We will continue to focus primarily
on the development of new window and door solutions for our UK customer
base, providing cost effective product ranges from our manufacturing plants
worldwide.’
Tel: 01376 507507
The
Writing’s in the Sand ...and it Wins £12,000 Dream Wedding
Proposing
to his girlfriend in 20-foot-high letters on a sandy beach was not just
a truly romantic gesture by Kömmerling fabricator Alexander Windows’
commercial and trade sales manager Russell Palmer - it won the happy couple
a £12,000 dream wedding.
Russell
was on holiday in Cornwall with girlfriend Joanne Goodwin, when the right
moment to pop the question just seemed to come along. ‘I’d had
the ring for about a month, waiting for the perfect opportunity.’
Which came when Joanne was sunbathing in the dunes at Crantock Beach,
Newquay. Russell slipped on to the beach and wrote ‘Marry Me Jo’
in 20-foot high-letters in the sand.
He then persuaded Jo to leave the dunes across the headland, where she
looked down onto the beach and saw the proposal! ‘She initially thought
it was for someone else,’ says Russell. ‘But when she turned
round I was down on one knee with the ring outstretched.’
The
happy couple then entered Cheshire Life magazine’s ‘Wedding
of the Year’ competition by sending the picture, along with a slogan
created by Joanne: ‘I would like to win a dream wedding because his
proposal was perfect. Written in the sand as we looked down from the clifftops
hand in hand. But cashflow’s a problem - things are on hold and we
want to be married before we are old. So do take this couple and make
dreams come true - we would love to hear you say ‘I do’.’
Included in their £12,000 dream wedding prize was the reception
for 40 guests, toastmaster, photography, wedding ring, suit hire, music
and entertainment, wedding cake, car hire, flowers and make-up.
Says Russell: ‘The sponsors did everything they could to make it
a very special day for us.’
Alexander Windows is based at Hazel Grove, Stockport.
Sunroom
Partnership Sheds Light on Bright Future for K2 USA
K2
USA has completed a private label distribution deal that the company is
heralding as ‘one of the biggest breakthroughs for conservatory products
in the American market.’
The deal involves a partnership with one of America’s largest sunroom
manufacturers, Patio Enclosures Inc, which will see K2 product being retailed
at 50 factory-owned and franchise stores across the mid-West and Eastern
States. K2 has already delivered 100 roof sample kits to ensure it has
a visible presence throughout the company’s 50 company showrooms.
A marketing programme has also been activated to support lead generation.
Comments Mike Francis, Vice President of K2 USA: ‘This deal is a
significant breakthrough for the market penetration of conservatories
in the US and once again proves that K2 is leading the way in exploiting
market opportunity for conservatories over here. This deal will provide
a massive boost to awareness of conservatories as a home improvement option
and we are delighted to have secured a partnership of this magnitude.
This will help us secure our market-leading position in the USA.’
K2’s conservatory products will be sold direct to the consumer alongside
Patio Enclosures’ successful sunroom, window and patio furniture
products.
Carlyle Group and Advent to Acquire HT Troplast from Ruetgers
Global
private equity groups The Carlyle Group and Advent International recently
announced an agreement to acquire HT Troplast AG, a diversified plastics
manufacturer, from Ruetgers AG. Financial details were not disclosed.
Headquartered in Troisdorf, Germany, HT Troplast is comprised of four
distinct business units, three of which (profine GmbH, Trocellen GmbH,
Dynos) will be acquired by The Carlyle Group and Advent International.
The businesses are each leaders in their fields, operating from manufacturing
and sales sites in Europe (Germany, France, Italy, Spain and Russia),
North and South America and Asia.
The largest division of HT Troplast is profine GmbH, a producer of vinyl
profiles for windows, doors, shutter systems and sheets used in the residential
and commercial construction industries.
The second division in HT Troplast to be acquired by The Carlyle Group and
Advent is Trocellen GmbH, one of Europe’s leading suppliers
of crosslinked polyolefin ('XLPO') foam products, used for a variety of
applications including insulation and construction, automotive, footwear
and sport and leisure.
Dynos, also to be acquired, is the global leader in the manufacture of
vulcanised fibre for abrasive discs, used in a variety of sectors of which
automotive and DIY applications are the largest.
In total, the three divisions have 4,300 employees and net sales for 2004
will be approximately €770 million.
Trosifol, a producer of 'PVB' films for laminated safety glass will not
be acquired.
Gregor Boehm, Managing Director, The Carlyle Group said, 'HT Troplast
has excellent market positions, in a growing industry. We are delighted
to be investing in the company with Advent International and to have the
chance to add a further market leader to our portfolio.'
Ron Sheldon, Director at Advent International, commented, 'HT Troplast
is a world-class plastics manufacturer, with powerful capabilities and
excellent technologies. Together with Carlyle, we are confident that we
can maximise future growth potential.'
Specifiers
Want More Product than Price
After
a slow start compared with some industries, the internet is being used
more and more in the window industry. More window companies are surfing
the web to find the product they want, before approaching suppliers.
Conwy County Council is one organisation that recently hit gold when it
used the web to find a new fastener supplier. ‘Potential suppliers
will always tell you what you want to hear when they are making a pitch
for your business,’ explains Stephen Watson, Purchasing Officer for
Housing Services, Conwy County Borough Council. ‘But sometimes you
want to check out the facts before you approach them for closer inspection.
That's why when we wanted to change our fastener supplier, our first stop
was the internet. That's how we found UK Fasteners. As a council, quality
and reliability are top of our list of requirements from a supplier -
we don't just buy on price - and we could see from its website (http://www.ukfasteners.co.uk)
UK Fasteners shared the same values.
‘Since switching we've found UK Fasteners a helpful and friendly
company to work with - it gives specifiers what they want. We've been
using the company for about a year now and we haven't had one failed product.
That's what I call reliable.’
Tel: 01242 577077
Solaglas
Portsmouth Expands for the Total Future
Solaglas
Portsmouth has recognised that the demand for soft coat glasses in double
glazed units is rapidly increasing. A 13000 sq ft extension to the existing
factory has significantly increased, the glass processing, toughening,
and glass distribution activities on the site, designed to take the latest
technology for softcoat production with a fully automated cutting table,
including edge deletion. This will increase the company’s cutting
capability by 70%.
Saint Gobain says that it is at the forefront in the development of energy
saving glasses and these are being introduced throughout the Solaglas
outlets. The latest in this range, Planitherm Total, is being well received
throughout the Industry.
Solaglas Portsmouth has also installed a Cooltemper Jetstream Toughening
Plant, this again will increase the company’s existing production,
particularly on softcoat glasses.
The decision to purchase the Cooltemper was reached after toughening experts
from Saint Gobain France visited the Cooltemper manufacturing plant in
Taiwan. They were very impressed at the scale of the facilities available
to TCME, the manufacturers of Cooltemper. In addition the management team
at Portsmouth viewed various plants within the UK and again were impressed
with the quality of the Cooltemper plant.
Dave Raven, responsible for the marketing of Cooltemper throughout Europe
and the USA, says that the decision of Saint Gobain to purchase a Cooltemper
plant is an important step for Cooltemper. Although the plants have been
produced for over 28 years and currently there are over 900 plants in
service throughout the world, predominantly within Asia, there is a perception
that Cooltemper is the new kid on the block. However, western companies
are now recognising the quality and value for money of Cooltemper supplied
by:
Unilam International Limited
Tel: 01274 615550
Email: mailto:sales@unilaminternational.com
Burles
Group plc Acquires Masterglaze Trade Centres
Masterglaze,
the chain of Trade Centres with branches at Swansea, Cardiff and Yeovil
has been acquired by the Burles Group.
This move is part of the Burles Group’s strategic development of
its Trade Counter business and builds on the success of its Abercarn ‘Factory
Outlet’ operation. The Group which is well known for ‘Modplan’
its trade fabricator and the ‘Versatile’ conservatory roof also
owns and operates 'National Plastics' a substantial country wide network
of UPVc Centres.
Masterglaze which was the brainchild of Andrew Scott offers a range of
Windows, Doors, Conservatories and Building Plastics to local builders
and installers who appreciate the flexibility , service and competitive
prices that a local operation can provide.
‘Masterglaze has enjoyed 40% year on year growth and is recognised
as a leading trade supplier in South Wales’ commented Andrew Scott
who will be staying on as a consultant to the business during its integration
with Burles Group.
David Burles chairman of Burles Group Plc commented ‘We are delighted
to welcome Masterglaze into the Burles Family, this deal represents substantial
opportunity for the business and its employees and we intend to invest
in ensuring that we deliver excellent service and products to our customers.
It is our intention to open more Masterglaze depots and plans are already
in place for further expansion.’ Heidi Sachs the new MD of Masterglaze
said’I am very excited about this opportunity, at Burles Group we
have a reputation for excellent customer service and that philosophy sits
well with Masterglaze ,we intend to make this business a major part of
the Group’
Burles Group was advised throughout this deal by MBA Associates Ltd, industry
specialist consultants.
Tel: 01495 246 844
Recycling
DVD Hits the Mark with Local Authorities
Over
one third of all English local authorities have requested free copies
of a glass recycling and reprocessing film, produced by Bankit, since
its launch in October 2004.
The DVD, which follows the process of recycling glass from kerbside and
bottle bank collection through to the manufacture of new containers, was
developed as a direct result of requests from local authorities for more
information on the glass recycling process.
Nigel Pritchard of Rexam Glass, the company behind the Bankit initiative,
said: 'We are absolutely delighted with the response that the DVD has
received – it has been so popular. We launched the DVD in response
to the requests from local authority waste management professionals who
wanted to understand more about the glass recycling process. Since the
DVD was launched we have been inundated with requests.'
As changes to the economics of glass collection and recycling continue
to affect the industry, the DVD, which is also available in CD format,
will help local authorities understand more about the processes involved
in, and the implications of, different collection methods on reprocessing.
Copies of the DVD are available through the Bankit website (http://www.bank-it.org).
A second version of the highly popular DVD will be released in 2005 and
will be aimed at educating school children about the benefits of glass
recycling.
Glass
UK Goes Down Under for the Perfect Colour Solution
Glass
UK, a manufacturer of toughened, oversized laminated double-glazed engineered
glass solutions, has secured sole UK rights to an Australian glass colouring
process which the company says redefines choice, price and durability.
GlassKote is a resin hardener which is added to approved two-part polyurethane
paints and is applied with a simple spraying technique. The manufacturers
are keeping their cards close to their chests with regard to the exact
chemical composition of the product, but in testing the additive which
bonds the paint to the surfaces of the glass has been found to be so durable
that the treatment is offered with a 20-year guarantee and is approved
by the Australian Gas Council at temperatures of up to 180 degrees Celsius.
GlassKote has been designed to be simple to apply - you can spray edge
to edge and there are no limits on size. It can be applied to tempered
or non-tempered glass and metallic finishes are easily achieved. GlassKote
can be applied post toughening over printed images and no stoving is required.
The fact that it is so simple to apply also make sit highly cost effective
– the lack of automated processes mean that it costs approximately
one third of the price of a traditional ceramic frit solution.
'One of the best features of the product is the issue of colour matching,'
says Glass UK Director Steve Laughton. 'We use computerised colour mixing
technology to ensure that we get a perfect match and this enables us to
offer the entire range of BS & RAL colours. There is no colour that
we cannot match. The colour range and durability make GlassKote absolutely
ideal for use with wall cladding, splashbacks and kitchen work surfaces.'
Web:
http://www.lmcgroup.co.uk
Glass
and Windows Alliance (GWA) Formed at glasstec
The
Glass and Windows Alliance (GWA) was introduced to the public at glasstec
2004. The four founders have long been established on the market. All
of them are global players who have been cooperating in varying constellations
for some time:
Investors and planners in the glass, window, and door industry are calling
for integrated solutions consisting of excellent individual components.
The supplier should guarantee the optimum interplay of software and production
equipment.
To live up to these requirements, four of the world’s leading companies
in this field have decided to form an alliance to offer complete, integrated
solutions for the window and glass industry.
Stürtz Maschinenbau is a manufacturer of machinery for the PVC-U
window production. Bystronic of Switzerland is a supplier of complete
solutions for flat glass processing and IG and laminated glass production.
Bystronic has been cooperating for many years with the software supplier
Albat+Wirsam, international market leaders in the field of flat glass.
Albat+Wirsam’s subsidiary Cantor is one of the leading suppliers
of software for window production which, together with Stürtz, can
look back on a number of successful projects in the PVC-U window industry.
Cantor can handle the business and production processes in the PVC-U and
wood/aluminium- and aluminium window production, including the integrated
production of IG.
'The tiresome problem of insufficient compatibility of machinery from
different suppliers and the additional problem of integrating the software
on top of that, shall be solved by the close cooperation of the GWA partners',
according to Albat+Wirsam’s chairman Günter Befort.
Karl Heinz Stürtz, Managing Director of Stürtz Maschinenbau
GmbH, adds 'The customers can handle the entire project with just one
partner. Even complex projects become calculable. We as a supplier can
guarantee the functioning of all components.'
Tel: +49 (0)7234 601 153
Ensure
Door Closers are CE Marked Advises DHF
The
Door & Hardware Federation (DHF) is urging architects, specifiers
and contractors to insist that all door closing devices they specify carry
the CE mark.
It is their guarantee that the product has been third party tested, therefore
absolving them from any duty to carry out a risk assessment on the products
for themselves.
In fact, it is now illegal across most of Europe to sell door closing
devices claimed to be suitable for use on fire doors within the scope
of EN 1154, the European standard for door closer products, unless they
bear the CE mark, although it is not yet a legal obligation in this country.
Said DHF chief executive officer Ian Wood: 'All our building hardware
and architectural ironmongery members are aware that CE marking of door
closing devices is a legal declaration by the manufacturer that the product
complies with the product standard EN 1154. The CE mark must be backed
by a third party ‘notified body’ responsible for testing and
certification of compliance.
'Architects, specifiers, contractors and building owners should insist
that all door closers now carry the CE mark. It guarantees that the product
comes from a supplier who is responsible enough to ensure his product
has been inspected, certified and tested to EN 1154 by a third party body
that has been judged fit and proper by the authorities to carry out certification.
In addition it means the product has been through a fire test, has satisfactorily
passed a factory production control inspection and only maintains its
CE mark by audit testing.
'For some time now, DHF members have been CE marking their door closure
products in the interests of best business practice. This also offers
the comfort factor to specifiers that if they use third party accredited
CE marked products then they have no need to carry out risk assessments
on the products themselves.'
Tel: 01827 52337
Email: mailto:info@dhfonline.org.uk
Web: http://www.dhfonline.org.uk
Abloy
Security Updates on 2004 Achievements
Abloy
Security launched new products in 2004, including the DIN electric lock
range and the high performance effeff® 351.
In addition, some internal restructuring took place, and December saw
the appointment of Neil Tilsley, Director of Sales and Marketing. 'All
of these changes will ensure that we continue to provide you with the
very best in sales, customer service, technical and marketing support.'
says the company.
'We have also continued to further our development and have extended our
headquarters in Watford, with the opening of new warehouse, office and
training facilities.
'Together with the introduction of our new website and catalogue on CD-ROM
we are also making it easier and faster for you to specify our extensive
range of products.
'Looking ahead to 2005, we are planning to launch a new generation of
products to strengthen further out position as the market leader in high
security. We're also planning a number of exciting initiatives, including
customer open days, that will give you the opportunity to meeet the people
behind the company.'
Alcan
Proposes Restructuring at Nine European Sites
Alcan
Inc. recentlyannounced that it has begun consultations with employee representatives
on a proposed restructuring involving nine of its European sites. This
intended measure is a result of changing market conditions and business
realities.
'In the normal course of business, Alcan continually reviews its portfolio
based on changing economic and market conditions,' said Travis Engen,
President and Chief Executive Officer of Alcan Inc. 'This proposed
restructuring is necessary to ensure Alcan’s competitiveness in the
marketplace and to create favourable conditions for future growth and
expansion. Maintaining competitiveness is the best insurance for long
term sustainable employment,' he added.
The proposed restructuring effort would include:
* the downsizing of four sites: Laffon in Italy, Kolin in the Czech Republic,
Froges (pharmaceutical workshop) in France and Alcan Mass Transportation
Systems (AMTS) business unit in Zurich, Switzerland;
* two potential sales: Mercus and Froges (high purity business) in France;
* three plant closures: Flemalle in Belgium, Cruseilles in France, Garbagnate
in Italy.
In Europe, there will be a proposed reduction of approximately 520 jobs,
partially offset by the expected creation of 40 new jobs in France
and Switzerland, as well as other additional jobs in Italy. Alcan presently
employs 46,000 people in Europe.
Alcan also confirms a €22 million investment at its Issoire
plant in France, scheduled for 2005-2006, in order to increase its plate
production capacity by 10 percent for the aerospace industry. With
the present and foreseeable long-term high demand for aluminium in the
aerospace industry, Alcan has identified this investment as an excellent
platform to grow its high value-added aerospace business.
Costs associated with this proposed restructuring, while not yet determined,
are anticipated to be within the scope of the expected overall Pechiney
integration costs.
Recently, Alcan completed the social plan consultation process for its
Paris headquarters restructuring resulting from the combination with Pechiney.
'The review of individual solutions for affected employees can now officially
begin,' said Jean-Dominique Senard, Chief Executive Officer of Pechiney.
'Through continuous dialogue and discussions with employee representatives,
the completion of these procedures will occur in a timely and respectful
manner,' he added.
Alcan is a multinational, market-driven company and a global leader in
aluminium and packaging, as well as aluminium recycling. With world-class
operations in primary aluminium, fabricated aluminium as well as flexible
and specialty packaging, aerospace applications, bauxite mining and alumina
processing, today’s Alcan says that it is well positioned to meet
and exceed its customers' needs for innovative solutions and service.
Alcan employs 88,000 people and has operating facilities in 58 countries
and regions.
Dorma
Reports Rise of over 65% in Earnings before Tax
Door
closer technology specialist, Dorma, succeeded in increasing earnings
before taxes (EBT) for fiscal 2003/04 (June 30th) by 65.3 % to €45.8
million (previous year: €27.7 million). This was announced in Düsseldorf
by Dorma CEO Dr. Michael Schädlich.
'In a year of consolidation, the company has stuck closely to its aims
of reducing costs, restructuring its businesses and increasing efficiency,'
he emphasised. Foreign currency influences impacted the net sales figure
of the Group to the tune of €18.5 million, leaving a total figure
that, at €648.7 million, was 2.2% below prior-year. Acquisitions
in the period under review only had a minor influence amounting to a plus
of €2.1 million. 'This leaves us with a comparable sales volume of
€665.1 million, which roughly corresponds to the €663.1 million
achieved in the previous year,' explained Dr. Schädlich.
Earnings before interest and income tax (EBIT) significantly boosted the
return on sales figure, causing it to rise to 7.4% (previous year: 4.7%).
Cash flow during the year under review increased by €6.8 million
to €64.9 million.
Domestic German performance far outstripped by developments abroad
The company’s core market of Germany underwent no discernible economic
recovery during fiscal 2003/04. Dorma’s business has, however, significantly
improved when seen on a global scale. Encouraging growth (in euro) was
achieved particularly in its business regions Emerging Markets (+31.6%),
Gulf (+29.6%), Australasia (+20.6%), Southern Europe (+20.1%) and France
(+8.7%). Due largely to foreign exchange effects, there were downturns
in the regions North America (-19.5%), Scanbalt (-7.4%), Central Europe
(-6.3%) and Asia (-2.1%). Dr. Schädlich regarded the company’s
international growth as a welcome counterweight to the German situation.
Focus on cost management and restructuring
The objectives for the financial year were to reduce costs, effectively
restructure and enhance efficiency. This approach was particularly necessary,
for example, due to the knock-on effect arising from the events of September
11th. The ensuing postponement of plans involving numerous new building
works resulted in a significant downturn in the company’s US-wide
project business in 2003/2004, especially at its Movable Walls division.
Dr. Schädlich commented: 'We responded immediately by quickly instigating
a number of structural adjustments at our US subsidiary Modernfold Inc.'
Further measures affected the structure of the company’s automatic
door systems business. During the year under review, a competence centre
for curved doors was established at its Cologne production facility. The
restructuring process initiated at Bonn subsidiary MBB Gelma also continued.
Finally, the CEO explained, a portion of the locks product line had been
transferred to a joint venture with the german company WILKA, with a further
subsegment being moved to the Dorma facility in Ennepetal.
In addition, the resolutely pursued cost reduction measures implemented
within the framework of the 'Fit for Future' project had enabled Dorma
to actually exceed its original objectives. Dr. Schädlich: 'Since
December 2002, we have achieved a total improvement on earnings amounting
to €43.5 million.'
The annual average number of employees at Dorma fell to 5,510, or 80 less
than in the previous twelve months. The CEO also pointed out that 86 employees
had been added as a result of minor acquisitions. Investments in property,
plant and equipment amounted to €30.7 million, roughly matching the
level of the previous year (€30.2 million).
Good prospects for Dorma going forward
'A company cannot live from cost-cutting alone,' underlined the CEO. Dorma
therefore also intends to constantly improve its customer focus through
increased efforts on the sales side, the introduction of innovative products
and a more vigorous application of the systems approach worldwide. One
of the main points of emphasis here will lie on increased benchmarking
for both inside and outside the Dorma Group. Associated activities had
already been instigated in the year under review in the form of two projects:
'Fit for Sales' and 'Focus Sales'.
'Our objective is to open up new business prospects for our customers
on the basis of our innovative offerings,' emphasised Dr. Schädlich.
And he went on: 'Our customers and employees can continue to count on
us as a dependable factor in business.' Dorma, he said, is proud of its
long-standing client relationships and high-performing personnel. Armed
with these assets, the company can look forward to excellent future prospects
– despite the likelihood of increasingly tough competition.
New
Commercial Flyscreens Line for 2005
Windowscreens
UK of Upminster, Essex has announced the introduction of a new proprietary
Commercial Flyscreens line for windows and doors. This new line complements
the company's Residential Flyscreens line. The Commercial line offers
light to heavy duty flyscreens for windows in hinged, high-grip magnetic,
sliding (featuring Magnetrak), and non-sliding panel formats. The hinged
flyscreens offer a choice of closures to meet customer preferences. Available
sizes go up to a huge 2.44m x 1.22m (8ft x 4ft). A medium duty Commercial
entry door flyscreen, featuring a four X-bar design, is also introduced.
'These Commercial Flyscreens offer the best prices in the UK, carry the
UK's best guarantee of up to 10 years, and have free delivery to most
of the UK.' says the company. 'All Commercial Flyscreens can also be supplied
with an optional super-tough polyester mesh, instead of the industry standard
fibreglass mesh. The extensive and fully-priced WS-UK website has the
UK's only downloadable flyscreens catalogue. Prices are fixed for 2005
and may be used confidently for job cost estimating. The Commercial flyscreens
line meets the Food Safety (General Hygiene) Regulations 1995, Schedule
1, Chapter 2, Paragraph D.'
Tel: 01708 222273
Email: mailto:info@flyscreensuk.co.uk
Web: http://www.flyscreensuk.co.uk
Assa
Abloy Acquires Leading Lock Company in South Korea
Lock
group, Assa Abloy, has signed an agreement to acquire BEST Metaline, one
of South Korea's leading companies in commercial architectural hardware.
Through this acquisition Assa Abloy makes its market entry into South
Korea.
BEST Metaline was founded ten years ago and is specialised in commercial
architectural hardware, which includes products such as door locksets,
door closers, hinges as well as automatic doors. The company has in addition
a strong position in customised hardware specifications to architects
and construction companies.
According to Assa Abloy Executive Vice President, Geoff Norcott, the acquisition
will bring a new dimension to the security offer in the Asia Pacific division.
'The acquisition of BEST Metaline will strengthen Assa Abloy's position
and leadership in North East Asia,' Norcott said.
The President of BEST Metaline, Mr Ye Min Lee said 'I am delighted and
proud to be part of the Assa Abloy Group and look forward to contribute
to the profitability and growth of the Assa Abloy Group.'
The company is expected to generate sales of approximately AUD 13 M (SEK
65 M) in 2004 and to be accretive to EPS and RoCE from the date of acquisition.
BEST Metaline has approximately 60 employees.
Groupco
and Fuhr: A Secure Partnership
The
hardware industry can claim few partnerships as long and successful as
the one between independent UK distributor Groupco and German manufacturer,
Carl Fuhr. Groupco is Fuhr's biggest customer worldwide and the two companies
have worked together for over 40 years to drive forward product development
and expand their share of the highly competitive UK hardware market.
Fuhr
has been designing, manufacturing and supplying locking systems and fittings
to meet the ever-increasing demands of security since 1859. Indeed a full
range of product certification is in place to meet individual market requirements
from the ISO 9001:2000 registered company. It is still a family-owned
firm, although a new managing director - Dr Florian Hesse - joined at
the beginning of this year. Against the current economic trend in Germany
and plans by some companies to move manufacturing to the Far East, Fuhr
has expanded its German headquarters by building an additional factory.
According to Export Manager Klaus Becker, this is to accommodate increased
production and stock as well as free up space in the rest of the factory.
Fuhr has also added a new showroom and a customer training centre. There
are plans to increase floor space still further by putting a second floor
in the new facility.
Fuhr is particularly active in the export market in areas as diverse as
the USA, the Far East and throughout mainland Europe. Business has been
booming in the UK market and in Eastern Europe too, ensuring Fuhr products
are available in an increasing number of different countries. Fuhr sees
the UK as its most important overseas market and has designed a number
of products for this country's unique needs. ‘In fact, Fuhr's Multisafe
859 split follower lock was originally a bespoke product and is now one
of our most popular multipoint locking options backed by our Secured by
Design licence,’ explains Richard Duncan, Groupco's Managing Director.
Fuhr's Multisafe range provides the mainstay of Groupco's lock portfolio.
In addition to the 859, it includes the lift lever (856) and key operated
(855) locks, all with progressive security options, from Roller Cams and
Mushroom Cams to Hook Bolts and Round Bolts. Accessories include Striker
Plates for aluminium, PVCu, timber and composite. The Multisafe range
also incorporates a Panic Function, the 870 - from the inside it is opened
without keys while from the outside the door is locked and secured again
- accredited to EN1125 (Panic) and EN179 (Emergency Exit).
Groupco and Fuhr have worked closely together over the years to meet changing
market demands. ‘It's a mutually beneficial relationship as we can
provide Fuhr with useful feedback on sample products and share views on
industry issues that affect both our businesses,’ comments Richard.
When it comes to product development Klaus says Fuhr is always looking
for new ideas, for example, motorised locks, electric openers and panic
locks. ‘Through discussions with builders and local authorities,
we have identified an opportunity for motorised locks as they provide
ideal solutions for main entrance doors to houses or flats and for disabled
access in sheltered housing. Once closed, the mechanism locks itself and
is always secure. From the inside the lock is released like a standard
lock, while from the outside the door can only be opened electronically,
for example with a digipad, a remote control or even a fingerprint.’
In the event of a power failure the lock will always fail safe.
In addition to the Multisafe, one of Groupco's best-selling product lines
is Fuhr's Inline 2200 - a universal lock for patio doors and windows suitable
for timber and PVC-U. Custom designed to suit the individual profile system,
the hooks may be on the lock or the keep, depending on the system. As
the sash is moved into the closed position, the anti-slam device releases
the locking mechanism. The hooks are engaged first then a full turn of
the key secures the lock. There is also a wide selection of Fuhr locking
options for French Doors, which many regard as the most secure on the
market.
Groupco also offers the two main options in Fuhr's Tilt Before Turn system
- the DK 2001M 'turn first' system and the DK2003M Tipsafe Tilt Before
Turn. The latter has been specifically designed for trouble-free operation,
while also providing fabricators with a cost effective package. It incorporates
a number of advanced features as standard, such as adjustable brass roller
cams and is centrally pinned for ease of fabrication.
Both Groupco and Fuhr believe their enduring partnership will continue
for many more years. ‘We've put our confidence in Fuhr because the
company offers trouble-free products that you can just fit and forget,
which is what our customers want. Fuhr also understands that product development
must be market-driven and by working together we can stay in tune with
what the market wants,’ says Richard. With its increased facilities
and ongoing expansion plans, Fuhr is clearly in a good position to respond
to current and future requirements. ‘We shall continue to produce
consistently high quality products and to support key distributors like
Groupco, who share our commitment to customer satisfaction and the hardware
industry as a whole,’ concludes Klaus.
Tel: 01733 234750
Email: mailto:sales@groupcoltd.co.uk
Web: http://www.groupcoltd.co.uk
Alcoa
Receives Approvals from Russia to Acquire Fabricating Facilities from
Rusal
Alcoa
announced on December 31st that it has received final approvals from the
Government of the Russian Federation to proceed with its purchase of Rusal's
controlling interests in two fabricating facilities in Samara and Belaya
Kalitva in the Russian Federation.
The approvals follow upon an understanding between Alcoa and the Federal
Anti-Monopoly Service (FAS) resulting in an FAS private ruling on behavioural
conditions to ensure that Alcoa complies with various legal requirements
and notification obligations. In addition, Alcoa reached an agreement
with a state owned procurement company guaranteeing that Alcoa will maintain
the capability to supply certain Russian domestic needs through continued
production at the two facilities. An Executive Order issued on December
22nd, 2004 allowed the agreement to be finalised and the behavioural conditions
to be issued. These documents ensure the national interests of the Russian
Federation have been addressed while also providing an additional legal
framework for Alcoa's investment.
With the final government approvals in place, Alcoa and Rusal are taking
the necessary steps to complete the transaction. Terms of the transaction
will be disclosed when the deal has been completed, which is expected
at the end of January 2005.
'We welcome this decision by the Russian government,' said Alain Belda,
Alcoa Chairman and CEO. 'We have had good and productive consultations
with the Russian government throughout this process and we are encouraged
by this opportunity to invest in Russia. We are pleased that we have addressed
the Russian government's concerns about the role these plants play in
supporting domestic production and infrastructure needs. And we believe
that the final working arrangements will protect both Alcoa's interests
and those of the Russian Government. We look forward to continuing to
work with both federal and local government officials as we expand our
presence in Russia.'
'The decision is an important step forward for both Alcoa and for Rusal,'
said Alexander Bulygin, Rusal's CEO. 'For us, it means we can move ahead
with our strategic focus on upstream and alloy production, and on expanding
our raw materials access. We welcome Alcoa to Russia and anticipate continuing
close relations in the future.'
The Samara facility is located about 500 miles southeast of Moscow. It
features cast house, flat rolled products, extrusion, and forging capabilities
and serves customers in many markets, including transportation, packaging,
and industrial products. The plant's production and quality control systems
have been ISO 9001/9002 certified and is preparing for the ISO 14001 certification
in Ecological Management.
The Belaya Kalitva facility is located about 500 miles south of Moscow.
The facility also features cast house, flat rolled products, extrusions,
tubes, and forgings capabilities. The Belaya Kalitva facility has specialised
plate rolling and finishing equipment that will complement and increase
Alcoa's present supply position. With Alcoa know how and management systems,
the plant will not only be able to expand the product offerings for Russian
customers but also will eventually be able to produce products for major
customers in the west. The plant is ISO 9001 certified and is preparing
for the ISO 14001 certification in Ecological Management.
As part of Alcoa, the two fabricating facilities will serve both the growing
Russian market and global customers in Europe, Asia, and the Americas.
The two facilities will join Alcoa's flat rolled products manufacturing
system with operations in the U.S., Europe, Australia, China, and Brazil;
the company's extrusion facilities in the U.S., Europe, Brazil, and Korea;
and its wheels and forged products system with facilities in the U.S.,
Mexico, Japan and Europe. A team headed by Phil Collins, Alcoa Country
Manager - Russia, has been organised to help facilitate the integration
into Alcoa. Collins, who oversaw the successful integration of similar
assets in Hungary into Alcoa, reports to Ric Belda, Executive Vice President
European Region.
Alcoa is the world's leading producer and manager of primary aluminium,
fabricated aluminium and alumina, and is active in all major aspects of
the industry. Alcoa serves the aerospace, automotive, packaging, building
and construction, commercial transportation and industrial markets, bringing
design, engineering, production and other capabilities of Alcoa's businesses
as a single solution to customers. In addition to aluminium products and
components, Alcoa also markets consumer brands including Reynolds Wrap®
aluminium foil, Alcoa® wheels, and Baco® household wraps. Among
its other businesses are vinyl siding, closures, fastening systems, precision
castings, and electrical distribution systems for cars and trucks. The
company has 120,000 employees in 43 countries. For more information go
to http://www.alcoa.com
Rusal, a world leader in aluminium production was formed in March 2000
from the merger of a number of the largest smelters and other aluminium
producers located in the CIS. The company accounts for 75% of Russia's
primary aluminium output and 10% of the global primary aluminium output.
Rusal is a fully vertically integrated company with a complete production
cycle from bauxite mining and the production of raw materials, to the
production of primary metal, semi-products and aluminium-based end products.
Rusal is headquartered in Moscow.