Servotronics, Inc. (NYSE MKT-- SVT) Announces The Completion Of Plant Expansion And Confirms A Cash Dividend To Its Shareholders
ELMA, N.Y., Aug. 2, 2013 /PRNewswire/ -- Servotronics Inc. announces the completion of a new state-of-the-art environmental test facility, a leading stage of a forward thinking plan to enhance operations at Servotronics and its subsidiaries. Engineered to meet stringent safety requirements, the approximate 1,100 square-foot building is outfitted with upgraded performance evaluation equipment, which expands the range and volume of testing that can be performed at the Elma, NY site. Demand from prospective and existing customers were the catalysts for this expansion project, and with this new facility the Company will now have the ability to more closely simulate the on-wing environmental conditions for which its servo components and systems are designed. The new facility is capable of both development and production testing over a wide range of temperatures and other key performance variables.
"In addition to the enhanced volume and increased range of testing, the facility provides greater flexibility for supporting research and development programs, which are the foundation of the Company's continuing success," said Dr. Nicholas Trbovich, Sr., the Chairman of the Board, CEO, and Founder of Servotronics, Inc.
"It is a significant indication of Servotronics strong commitment to its future," commented Company President Kenneth D. Trbovich. "The increased production and design capacities will help drive growth through new customer acquisition and new product development."
Additionally, Servotronics, Inc. confirmed the issuance of a dividend for the sixth straight year with its May 24, 2013 declaration of a $0.16 per share cash dividend. The dividend was paid on July 15, 2013 to shareholders of record on June 24, 2013. The Board of Directors will continue to consider the distribution of cash dividends as an option, going forward. Recently, the Company was recognized as one of the top four small-cap stocks in the industrial electrical equipment industry with the highest dividend yield, according to Monica Gerson at the media outlet Benzinga.
Servotronics, Inc. is composed of two groups – the Advanced Technology Group (ATG) and the Consumer Products Group (CPG). The ATG primarily designs, develops and manufactures servo control and other components for various commercial and government applications (i.e., aircraft, jet engines, missiles, manufacturing equipment, etc.). The CPG designs and manufactures cutlery, bayonets, machetes and combat, survival, sporting, agricultural, and pocket knives for both commercial and government applications.
Certain paragraphs of this release contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, such as those pertaining to the Company's expectation of new business and success in its entry into new product programs. Forward-looking statements involve numerous risks and uncertainties. The Company derives a material portion of its revenue from contracts with agencies of the U.S. Government or their prime contractors. The Company's business is performed under fixed price contracts and the following factors, among others, could cause actual results and future events to differ materially from those set forth or contemplated in the forward-looking statements: uncertainties in today's global economy and global competition, difficulty in predicting defense appropriations, the vitality and ability of the commercial aviation industry to purchase new aircraft, the willingness and ability of the Company's customers to fund long-term purchase programs, and market demand and acceptance both for the Company's products and its customers' products which incorporate Company-made components. The success of the Company also depends upon the trends that affect the national and international economy. Readers are cautioned not to place undue reliance on forward-looking statements, which reflect management's analysis only as of the date hereof. The Company assumes no obligation to update forward-looking statements.
SERVOTRONICS, INC. (SVT) IS LISTED ON NYSE MKT
SOURCE Servotronics, Inc.