Unique Fabricating to Close Fort Smith, Arkansas Manufacturing Facility

AUBURN HILLS, Mich., Feb. 13, 2018 /PRNewswire/ -- Unique Fabricating, Inc. (NYSE MKT: UFAB) which engineers and manufactures multi-material foam, rubber, and plastic components utilized in noise, vibration and harshness management and air/water sealing applications for the automotive and industrial appliance market, today announced it will close its manufacturing facility in Fort Smith, Arkansas to further streamline the company's operations, improve efficiency and better position its production assets geographically to support growth.

The company expects to close its Fort Smith manufacturing facility in June 2018 and plans to transfer scheduled production to the company's other existing manufacturing facilities, including plants located in Evansville, IN and Monterrey, MX. The decision will impact approximately 20 employees. Unique Fabricating has committed to providing severance and transition assistance to all affected employees.

In connection with this closure, the company expects to incur charges of approximately $150,000 - $250,000 related to severance costs and approximately $400,000 - $500,000 related to equipment relocation, and other closing considerations. The cost savings to be realized as a result of the closure are expected to be approximately $600,000 - $700,000 annually. The Company will provide an update to investors during their fourth quarter and year-end 2017 earnings conference call.

Following the closure, the company expects to market the facility, which currently has a net book value of approximately $700,000, for sale.

"The contributions from the Ft. Smith team played a key role in the Prescotech integration effort, and I would like to thank each of our employees at this facility for their commitment, service and ongoing support," said John Weinhardt, CEO of Unique Fabricating. "The consolidation of this facility into existing plants will help us to further streamline our manufacturing operations and better position us to grow profitably. I am confident this rationalization of our production facilities will make us a stronger organization overall and is the best long-term solution for Unique Fabricating and our shareholders."

About Unique Fabricating, Inc.

Unique Fabricating, Inc. (NYSE MKT: UFAB) engineers and manufactures components for customers in the automotive and industrial appliance market.  The Company's solutions are comprised of multi-material foam, rubber, and plastic components and utilized in noise, vibration and harshness (NVH) management, acoustical management, water and air sealing, decorative and other functional applications. Unique leverages proprietary manufacturing processes including die cutting, thermoforming, compression molding, fusion molding, and reaction injection molding to manufacture a wide range of products including air management products, heating ventilating and air conditioning (HVAC), seals, fender stuffers, air ducts, acoustical insulation, door water shields, gas tank pads, light gaskets, topper pads, mirror gaskets and glove box liners. The Company is headquartered in Auburn Hills, Michigan. For more information, visit http://www.uniquefab.com/.

Safe Harbor Statement

Except for the historical information contained herein, the matters discussed in this news release include forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995 that are subject to risks and uncertainties. Forward-looking statements relate to future events or to future financial performance and involve known and unknown risks, uncertainties, and other factors that may cause the Company's or the Company's industry's actual results, levels of activity, performance or achievements including statements relating to the Company's 2018 Outlook to be materially different from any future results, levels of activity, performance, or achievements expressed or implied by this press release.  Words such as "may," "will," "could," "would," "should," "anticipate," "predict," "potential," "continue," "expects," "intends," "plans," "projects," "believes," "estimates," "outlook," and similar expressions are used to identify these forward looking statements.  Such forward-looking statements include statements regarding, among other things, our expectations about revenue, Adjusted EBITDA, and adjusted diluted earnings per share.  All such forward-looking statements are based on management's present expectations and are subject to certain factors, risks and uncertainties that may cause actual results, outcome of events, timing and performance to differ materially from those expressed or implied by such statements.  These risks and uncertainties include, but are not limited to, those discussed in our Annual Report on Form 10-K, for the year ended December 31, 2017 filed with the Securities and Exchange Commission and in particular the Section entitled "Risk Factors" in the Annual Report on Form 10-K, as well as any updates to those risk factors filed from time to time in our periodic and current reports filed with the Securities and Exchange Commission.  All statements contained in this press release are made as of the date of this press release, and Unique Fabricating does not intend to update this information, unless required by law.  Reference to the Company's website above does not constitute incorporation of any of the information thereon into this press release.

Investor Contact:
Hayden IR
Rob Fink/Brett Maas
646-415-8972/646-536-7331
[email protected]

SOURCE Unique Fabricating, Inc.

Related Links

http://uniquefab.com