Global Fastener News

Questron Exploring Growth Options

John Wolz

Questron Technology Inc. announced it has retained Credit Suisse First Boston of New York to “assist it in evaluating a variety of strategic alternatives to maximize shareholder value.”
Questron has been rumored to be a likely fastener company to be acquired by a corporation outside the industry.
“We believe there will be excellent growth opportunities as OEMs continue the trend of outsourcing small parts procurement and management to service providers such as Questron,” CEO Dominic Polimeni said. “With the assistance of Credit Suisse First Boston, we will explore options to realize the company�s exciting potential for growth and to maximize value for its shareholders.”
Questron reported first quarter 2001 sales totaled $39.8 million, a 9% over the same period of 2000. Earnings slipped 3% to $5.5 million.
Questron noted that first quarter sales were below expectations “due to the continued weakness in its mature inventory logistics management account base, offset in part by the implementation of new customer ILM programs.
New ILM contracts with OEMs during the first quarter, the ramp-up of programs from 2000 and “modest economic improvement in the second half of the year, are expected to have a positive impact on the company�s results for 2001.”