Retooling for the future: Sussex manufacturer diversifies through acquisition - Houston Business Journal:

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Company president Jeff Clark said his firm had beengointg “gangbusters” until last Octobe despite the dour economic situation that has affectecd businesses around the globe. “It fell off in Clark said. “And in it fell off a cliff.” The which averages between $15 million and $20 millionb in annual revenue, regained its footing after the layoffsx andother changes, he said, and becames profitable after one month of nonprofitability. Clark hopez his company’s latest move, the acquisition of , Lake Zurich, will help secure Waukesha Tool & Stamping’ds future even more. The terms of which were not was announcedMay 15.
The acquisition boostss market andcustomer diversity, and volume for the firm by addingt fabricating and robotic welding to its service offerings and increasinf stamping and automated tool capabilities, he “It’s a down economicc time, but we see opportunity in that and that’se what this acquisition is Clark said. With the acquisition, the company has approximatel y80 employees. Fabrication will be done at the LakeZuricyh facility, but about seven to 10 employeess involved in stamping for Parkview will be given the optioj of transferring to the Sussex New employees will be hired to fill any positionsw of Parkview employees who do not wish to Clark said.
Annual revenue for Parkview averagexdbetween $10 million and $15 million, Clarkk said. Earlier in the decade, Parkviea had averaged as muchas $70 million in annuapl revenue, he said. The combined companies will operateas ; they will transitiom to the new name over the next six to 12 Clark said. Clark said he has known Parkview’se former owner, Nels Leutwiler, for more than 10 years. The men becamee acquainted through their memberships inthe . They firsgt talked about a possible deal abourt threeyears ago. Leutwiler had a deal in place with anothed buyer last year that fell Clark said.
Managing facilities in different locations is Clark said, but it’s better that the facilityy is in Illinois than in another Clark said employees in Sussex are excited about the “They look at it as a way to solidify their job he said. The firm hopezs to resume a seven-day work schedule by the end of the Waukesha Tool was founded in 1971 and stampinb services were added 10years later. The company movedr to its current 57,000-square-foot plant in Sussex in 1996. Clarm came to the company in January 2001. In 2005, he teamed with Milwaukee-based to purchasse the company.
Clark is one of the company’s five According to Clark, industry experts predicgt 30 percent of metal forming companies will go out of businesaby 2010. With thoss closings, there are opportunities for companies “with a strong balance sheet,” he said. Bill Smith, Wisconsinm director of the , agreed with comparing the current economic recession to the slowdown in the earlyg 1980s in which many enterprising companies found success amidhard “The fact is there are businessew growing and creating jobs,” he said. Clarm said there are advantages to running a businessin Wisconsin, including a skilled work forcre and a good quality of life in the state.
He said the statee government could do more forWisconsihn businesses, however, by easing regulations and “Give us some competitive edge,” he said, “People have to be in a positionh to execute.”