PWO records high volume of incoming orders for its Mexico site

• Substantial orders received for series productions

• Investments in the site over the last few years paying off

• Revenue expected to double by 2012

   

Oberkirch, 11 March 2010 - Progress-Werk Oberkirch AG reports very positive development in the volume of incoming orders for its production site in Mexico. Most of the new series productions are going to be launched and ramped up over the next two years, doubling revenue to around USD 40 million by 2012. Orders for components in the areas of vehicle body, chassis and steering have come in from existing customers of the site as well as other PWO Group customers.

Karl M. Schmidhuber, CEO of Progress-Werk Oberkirch AG, feels that PWO?s long-term strategy is paying off: "At PWO, we strategically position ourselves wherever our market is showing signs of above-average growth potential. We entered into the Mexican market in 2007 to ensure an even more efficient supply to the NAFTA region as well as in response to foreseeable relocations of business to the region by our customers. Since then, we have improved production processes, developed the site from a technological point of view and established the site as a reliable supplier of high-end metal components. This has put us in a position to benefit from the foreseeable increase in demand in North America."

Tim Werding, Managing Director of PWO de México SA de CV, Puebla, adds: "We came a long way with the development of our site in 2009: We are regarded as an A-listed supplier by our major customers and we have successfully positioned ourselves among new customers, including important key accounts of the PWO Group, gaining new orders in the process. A new assembly line has almost been completed and we have started developing our own tooling operations, paving the way for promising development at the site."

Progress-Werk Oberkirch AG

The Management Board