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For Immediate Release: 2 p.m. on Monday, Nov. 17, 2003
For more information contact: Mary Lehecka Nelson, 773-5032
Local Owner Buys Behr America in Canton
Pierre –Governor Mike Rounds announced today that Behr America’s Canton, SD plant is being purchased by a locally owned firm.
The manufacturing plant, which currently employs 200 people, is being purchased by Adams Thermal Systems of Canton. The sale, which will become official on January 1, 2004, ensures the continued operation of the Canton plant and provides opportunities for future growth, according to Gov. Mike Rounds.
“The success of our economic development vision relies on the creation of quality jobs that will retain our youth and grow our economy. The local purchase of this Behr facility, led by Mike Adams and helped by partnerships with the state and local development groups, is a perfect example of how we can put this vision for success into action,” Rounds said.
Behr produces a variety of engine cooling components, including oil coolers, condensers and fuel coolers. It currently operates in a 121,000 square foot facility in Canton. The purchase also includes an additional 10,000 square foot warehouse and parts distribution center in Cedar Falls, IA. The parts center currently has four employees.
Mike Adams, current engineering manager at Behr, is leading the investor group. Adams will serve as president and CEO of the newly formed Adams Thermal Systems, Inc. Adams noted that current employment will not be affected by the purchase and that the plant’s management team will remain in place. “We actually hope to increase employment over time,” Adams said. “We really see great potential for this company.”
Adams also said his new company will have a strong relationship with Behr. “Behr has agreed to work very closely with us to further improve customer satisfaction and the overall efficiency of the plant,” Adams said. “We will continue to supply a number of parts to Behr and its customers.”
Frank Mueller, vice president and CFO at Behr America, Inc. said the company sees a bright future for Adams Thermal System and its employees. “A primary consideration in this transaction has been the job security and welfare of our Canton employees. Under the agreement, Adams Thermal Systems will be able to better dedicate service to our current agricultural and off-highway customers while allowing Behr to continue focusing on its core business in the automotive industry,” he said.
Gov. Rounds concluded by congratulating Adams and the people of Canton. “This is great news for the community of Canton and I appreciate the opportunity to assist with this important economic development deal,” he said.
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