Commercial Vehicle Group Wins New China Business
NEW ALBANY, Ohio, Aug. 27, 2012 /PRNewswire/ -- Commercial Vehicle Group, Inc. (Nasdaq: CVGI), a leading supplier of fully integrated system solutions for the global commercial vehicle market, announced today that it has been selected by Jianghuai Automobile Co., Ltd. (JAC), a leading Chinese automobile and truck manufacturer, as the supplier for seating and bunk systems on JAC's new truck platform. Under this program, CVG will provide a customized driver seat based on its 700 Series air suspension driver seats for use in JAC's vehicles. CVG is also working to develop passenger and center seats, as well as a sleeper bunk, to further support JAC's new truck program.
CVG expects to begin production of the products for JAC in the second quarter of 2013 at its facility in Shanghai, China. The program is expected to ramp up production over a three-year period and the Company estimates revenues from this program could reach $12 - $15 million per year at full production by 2016-17.
About Commercial Vehicle Group, Inc.
Commercial Vehicle Group, Inc. is a leading supplier of a full range of cab related products and systems for the global commercial vehicle market, including the heavy-duty (Class 8) truck market, the construction, military, bus and agriculture markets and the specialty transportation markets. Our products include static and suspension seat systems, electronic wire harness assemblies, controls and switches, cab structures and components, interior trim systems (including instrument panels, door panels, headliners, cabinetry and floor systems), mirrors and wiper systems specifically designed for applications in commercial vehicles. The Company is headquartered in New Albany, OH and has operations throughout North America, Europe, Asia and Australia. Information about the Company and its products is available on the internet at www.cvgrp.com.
About Jianghuai Automobile Co., Ltd.
China-Anhui Jianghuai Automobile Co., Ltd. (JAC) was founded in 1964 and listed on the Shanghai Stock Exchange in 2001. JAC is a comprehensive automaker with a full-line of independent brand vehicles in China, including: light, medium and heavy-duty trucks; MPV; SRV; sedans, buses and bus chassis; engineering machinery; engines; gearboxes and other key automotive components. After more than 40 years of development, JAC has an annual production capacity of more than 700,000 complete vehicles and 500,000 engines. JAC is ranked as one of China's top 10 automotive producers.
This press release contains forward-looking statements that are subject to risks and uncertainties. These statements often include words such as "believe," "expect," "anticipate," "intend," "plan," "estimate," or similar expressions. In particular, this press release may contain forward-looking statements about Company expectations for future periods with respect to revenues, production dates or other financial information. These statements are based on certain assumptions that the Company has made in light of its experience in the industry as well as its perspective on historical trends, current conditions, expected future developments and other factors it believes are appropriate under the circumstances. Actual results may differ materially from the anticipated results because of certain risks and uncertainties, including but not limited to: (i) general economic or business conditions affecting the markets in which the Company serves; (ii) the Company's ability to develop or successfully introduce new products; (iii) risks associated with conducting business in foreign countries and currencies; (iv) increased competition in the heavy-duty truck market; (v) our failure to complete or successfully integrate strategic acquisitions; (vi) the impact of changes in governmental regulations on the Company's customers or on its business; (vii) the loss of business from a major customer or the discontinuation of particular commercial vehicle platforms; (viii) the Company's ability to obtain future financing due to changes in the lending markets or its financial position; (ix) the Company's ability to comply with the financial covenants in its revolving credit facility; and (x) various other risks as outlined under the heading "Risk Factors" in the Company's Annual Report on Form 10-K for fiscal year ending December 31, 2011 There can be no assurance that statements made in this press release relating to future events will be achieved. The Company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results over time. All subsequent written and oral forward-looking statements attributable to the Company or persons acting on behalf of the Company are expressly qualified in their entirety by such cautionary statements.
SOURCE Commercial Vehicle Group, Inc.