ATS announces automation orders from two repeat automotive
customers totaling $9 million
TSX: ATA
CAMBRIDGE, ON, March 18 /CNW/ - ATS Automation Tooling Systems Inc. today
announced it has been awarded two separate contracts valued at $9.0 million
for the design, manufacture and supply of automated manufacturing systems from
two major multinational tier one automotive customers.
The largest of the two contracts will be completed, shipped and installed
over the next six months and includes a number of individual automated
manufacturing and test systems. These systems will feature a variety of
standard automation products and technologies from ATS including two ATS
Supertrak(TM) intelligent conveyor systems, and various high-speed ATS
Superbot(TM) material handling robots and ATS proprietary component feeders
for high volume parts handling and improved performance. The customer -- a
major multinational tier one automotive parts supplier and a long-time ATS
account -- will use these advanced automated systems to manufacture and test
high precision automotive components.
"This assignment is just the latest example of growing marketplace
acceptance for our next generation standard products and technologies, and the
mutual value they provide to both our customers and to ATS," said Klaus
Woerner, ATS President and Chief Executive Officer. "For customers,
technologies like Supertrak(TM) and Superbots(TM) enable high manufacturing
throughput, efficiency, flexibility, tremendous precision and most important,
rapid system deployment and higher return on investment. For ATS, our standard
products are a distinct advantage in winning new assignments, plus they allow
us to deliver value added manufacturing solutions faster and on terms that
benefit both ATS and our customers."
For example, by replacing third-party vibratory bowl feeders with ATS
component feeders -- a recent addition to the Company's standard products
portfolio -- ATS is able to reduce the customer's cost of ownership, improve
component handling performance and generate better margins for itself.
Added Mr. Woerner: "Clearly, this assignment demonstrates once again that
important customers are embracing our standard products initiative, and that
the investments we have made to develop these technologies is helping ATS to
add momentum in a challenging economic environment. We look forward to serving
this customer and in so doing, showcasing the distinct competitive advantages
ATS possesses as the industry's leader -- and the only company in our markets
offering comprehensive 21st century automation solutions."
The second contract, also from a repeat automation systems customer, is
also scheduled for completion over the next six months and is comprised of two
different custom designed automated assembly systems that will be used by this
multinational tier one automotive component manufacturer to assemble an
automotive subsystem.
The names of the customers and further details about the orders cannot be
disclosed due to customer confidentiality requirements. ATS derived
approximately $260 million of consolidated revenue from automotive customers
in its last fiscal year and the auto industry has been a major consumer of ATS
automation systems and precision components for more than 20 years.
About ATS
ATS Automation Tooling Systems Inc. (www.atsautomation.com) is the
industry's leading designer and producer of turn-key automated manufacturing
and test systems, which are used primarily by multinational corporations
operating in a variety of industries including: automotive,
computer/electronics, healthcare, and consumer products. The Company also
makes precision components and sub-assemblies using its own custom-built
manufacturing systems, process knowledge and automation technology. This
includes a line of advanced thermal management devices used by computer
manufacturers to cool high-speed processors. Through Photowatt International
S.A., and Spheral Solar Power Inc., ATS is an emerging leader in the rapidly
growing market for solar energy cells and modules. ATS employs approximately
3,400 people at 28 facilities in Canada, the United States, Europe and Asia-
Pacific. The Company's shares are traded on The Toronto Stock Exchange under
the symbol ATA.
Certain forward looking statements are made in this news release,
including statements regarding possible future business. Investors are
cautioned that such forward-looking statements involve risks and
uncertainties, including, without limitation, continued acceptance of
ATS's products, technologies, customer requirements and other risks
detailed from time to time in ATS's periodic reports filed with Canadian
regulatory authorities.
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For further information: Ron Jutras, Executive Vice President and Chief Financial Officer, (519) 653 6500