Universal Completes Purchase of International Wood Industries, Inc.
Headquartered in Turlock, CA, IWI manufactures boxes to move household goods worldwide; agricultural boxes for shipping produce such as nuts, fruits and vegetables; and crating, packaging and skids to pack and ship products for a multitude of industries nationwide. The company has distribution, warehouse and assembly facilities in Alaska and Hawaii. For the twelve months ended December 31, 2007, IWI had sales of $40 million. Universal Forest Products Western Division closed the $14 million purchase of all shares of IWI on Monday, February 4, 2008.
"Our strategy has called for both organic growth and growth through acquisition, especially in the highly promising industrial market, and we feel we've found the perfect fit and opportunity with IWI," said Universal Forest Products CEO and President Michael B. Glenn. "It's a well-run company with a reputation for integrity and results, and a 38-year history of success. We're pleased to bring the operations and good people of IWI into the Universal family, and we know Universal will greatly benefit from the knowledge and experience of its leadership team."
"We're honored and pleased to be joining a company with the kind of strength and opportunity Universal represents," said IWI President John Rotticci. "We're delighted to offer our people the opportunity to grow with Universal, and we look forward to expanding service to our customers through the vast network of Universal facilities and contributing to Universal's growth by taking our business to new levels of success."
"This is an exciting time for our company, people and customers, and we know all will benefit from this partnership," Rotticci added.
Universal Forest Products formally launched its industrial business in 2000 with the formation of a dedicated sales force and internal structure to focus solely on that market. Since that time, Universal's industrial business has seen double-digit growth. At the end of the third quarter of 2007, industrial represented nearly one-fourth of Universal's business with year-to-date revenues of more than $452 million.
Universal Forest Products markets, manufactures and engineers wood and wood-alternative products for DIY/retail home centers, structural lumber products for the manufactured housing industry, engineered wood components for the site-built construction market, and specialty wood packaging for various industries. The Company also provides framing services for the site-built sector and various forms for concrete construction. The Company reported sales of nearly $2.66 billion in 2006. It will release 2007 results on Wednesday, February 6, 2008. For information about Universal Forest Products, visit www.ufpi.com.
Please be aware that: Any statements included in this press release that are not historical facts are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements are based on the beliefs of the Company's management as well as on assumptions made by, and information currently available to, the Company at the time such statements were made. The Company does not undertake to update forward-looking statements to reflect facts, circumstances, assumptions or events that occur after the date the forward-looking statements are made. Actual results could differ materially from those included in such forward-looking statements. Investors are cautioned that all forward-looking statements involve risks and uncertainty. Among the factors that could cause actual results to differ materially from forward-looking statements are the following: Adverse lumber market trends, competitive activity, negative economic trends, government regulations and weather. Certain of these risk factors and additional information are included in the Company's reports on Form 10-K and 10-Q on file with the Securities and Exchange Commission.
SOURCE: Universal Forest Products
Universal Forest Products
Lynn Afendoulis, 616-365-1502
Director, Corporate Communications