Global Fastener News

May 20, 1991 FIN – Elco Industries Inc. of Rockford, Illinois, reached a definitive purchase agreement with Key Manufacturing Group Inc. of Troy, Michigan, for the acquisition by Elco of the assets of Key’s Bear-KatProducts Division.

Bear-Kat Products, with annual sales of about $10 million, markets a full line of fasteners and related items to the consumer / do-it-yourself (DIY) market. The Bear-Kat product line is similar to the product line offered by Elco’s consumer products segment.

According to Jack W. Packard, chairman and CEO,  the acquisition of Bear-Kat fits with Elco’s overall strategy to expand its presence in the consumer market. “In addition to making Elco one of the largest suppliers in the consumer market, sales to that market will e nearly 30% of Elco’s overall business,” Packard told FIN. “This helps move us toward our sales going to less cyclical markets like the DIY market.”

Elco’s combined DIY related sales will approach $50 million annually, according to the company.

James R. Stenberg, Elco’s group vice president for consumer products, told FIN that the Bear-Kat operations will continued in its current location in Troy for a short time while arrangements are made to move the operations to Rockford, where it will be merged into Elco’s consumer products segment.

It is anticipated the move will take place within six to nine months.

“Our facility in Rockford will be adapted to accommodate the additional operations necessary to integrate the Bear-Kat business,” Stenberg said. “We anticipate the addition of between 40 and 50 jobs in Rockford once the move is complete.”

Stenberg also disclosed plans for several of the key managers to move with the business to Rockford, including Bear-Kat general manager William Farrell.

Elco Industries is a leading manufacturer and supplier of custom-designed fasteners and precision-engineered metal and plastic components as well as packaged fasteners for the retail and construction markets. ©1991/2012 Fastener Industry News

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