RBC
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" m! |: k' h- N# J% y+ JOver 33% of RBC's corporate-wide sales, or almost $57 million, are to the aerospace market for applications in commercial and military aviation. Although spread across several operating divisions, RBC's existing plants already manufacture a virtually overlapping lineup to Fafnir's airframe control bearings, rod ends and track rollers. In essence, production could be easily absorbed by RBC manufacturing and distribution.
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( C" W3 L) n/ {! SRBC's senior management is intimately familiar with the Fafnir and Standard Plant operation, with three out of five senior executives having held senior positions at Torrington. Dr. Michael Hartnett, Chairman, President and CEO, spent 18 years at Torrington and was VP/GM of the Aerospace Business Unit. Richard Edwards, RBC VP/GM, was with Torrington for six years at Tyger River. Christopher Tomas, RBC's VP-Business Development, spent seven years at Torrington's Precision Components and NASTECH businesses. 5 Q" @$ ?5 ?2 x+ P
$ N' c3 W" j% {2 [& @; a. i4 g; [With a history of buying similar businesses, RBC now has a lineup of twelve operating divisions, including Tyson Bearings, Heim, RBC Linear, RBC Nice, Bremen Bearings, Industrial Tectonics, and others. The Fafnir operations would dovetail with these, and a recently-installed credit facility freed the company to make further acquisitions (RBC has made ten acquisitions in the past ten years).
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9 ?- J5 e3 J) URBC may have been more prescient than expected in its latest annual report section covering SKF, Timken, INA and other competitors: "The balance of the domestic market, consisting primarily of specialty and custom engineered bearings, is more fragmented. Due to the shorter production runs and significant post-sale technical support associated with these products, we believe they are not the primary focus of the larger bearing manufacturers. A group of smaller companies, including ourselves, frequently establish leading positions, in market share and reputation, in certain of these niche product lines."
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The annual report also listed a key RBC business strategy as, "acquiring other manufacturers which have complimentary products, similar distribution channels or provide significant potential for margin enhancement." |