ATS receives $17 million order from major Tier One automotive parts manufacturer
CAMBRIDGE, ON, Nov. 8 /CNW/ - ATS Automation Tooling Systems Inc. today announced it has secured an approximately CDN $17 million (approximately US $14 million) automation systems order from a major North American Tier I automotive customer.
The order - from a repeat customer - is for a state-of-the-art automated manufacturing system and will include seven ATS Superbots(TM) and a number of ATS high-speed component feeders. The system will be designed and built primarily at ATS's Columbus, Ohio facility and installed at one of the customer's North American facilities in the summer of 2005 where it will enable the simultaneous production of a family of similar automotive assemblies without the need for tooling changeovers.
"This significant project was awarded to ATS based on our successful experience in similar application areas of advanced automotive and our track record of working with this world leading automotive parts customer over many years," said Klaus Woerner, ATS President and Chief Executive Officer. "This advanced automated assembly system will make valuable use of our standard technology platforms to reduce risk and time to delivery, and enable the customer to enhance cycle times and overall productivity."
Mr. Woerner said the project adds materially "to our already substantial order bookings and backlog and it is a great addition to the large assignments ATS has secured over the past couple of months. We have achieved an excellent balance of work among our target industrial markets of healthcare, automotive, computer-electronics and consumer products. Our broad industry and customer diversification is a very deliberate part of our overall growth strategy and provides us with numerous growth opportunities."
Customer and product details cannot be provided because of customer confidentiality.
About ATS in Automotive
ATS has been a strategic supplier to automotive for more than 20 years and today counts most of the world's largest Tier I and Tier II companies as ongoing customers. ATS serves automotive customers through its Automation Systems and Precision Components groups. Precision Components provides high volume, outsourced manufacturing of engineered parts and sub-assemblies for automotive suppliers, while Automation Systems designs, builds, and installs automated systems.
Over the past five fiscal years, ATS has generated approximately $1.4 billion in revenue from automotive customers.
"This customer award proves, once again, the value of our leadership in advanced automotive," said Mr. Woerner, "and the importance of our standard technology development and strategic marketing focused on this sector. We will provide this long-time customer with the full benefit of our extensive experience and proven technologies as we help them meet their manufacturing objectives."
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, 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. 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 4,000 people at 26 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' products, technologies, customer requirements and other risks detailed from time to time in ATS' periodic reports filed with Canadian regulatory authorities.
For further information:
Ron Jutras, Executive Vice President, C.O.O. and Chief Financial Officer