Gary, Yes they did. A 14 million dollar contract, but their contract with GM has been delayed. See below, if you haven't already seen the news release.
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General Bearing and Ford Motor Company Reach Agreement; Contract Expected to Yield $14 Million in Revenues to General Bearing
WEST NYACK, N.Y., Feb. 12 /PRNewswire/ -- General Bearing Corporation (Nasdaq: GNRL - news) announced today that it reached a two-year, $14 million agreement to supply various ball bearings to Ford Motor Company (NYSE: F - news). The Company anticipates shipping approximately $4.5 million against the order in 1998, as shipments are expected to begin May 1, 1998.
General Bearing President David L. Gussack said, ''The contract with Ford Motor Company affirms our standing as a premier, low cost, high quality bearing supplier to the U.S. Automotive Industry. General Bearing has created great opportunities for itself and we are continuing to reap the benefits.''
Gussack also noted that the Company's contract with General Motors (NYSE: GM - news) to supply wheel and axle bearings had been delayed several months. He anticipates shipments to begin mid 1999. However, he explained that the new Ford contract plus other new business ''means we will continue to see strong top and bottom line growth through 1998. In 1999, that growth will be even more accentuated with the combined new revenue streams from both Ford and General Motors.''
''With respect to General Motors,'' he continued, ''It is important to understand that the terms of the contract remain intact and that the delays in the validation process have not been the result of any problems or issues with General Bearing or our product. Rather, the General Motors certification process is a time-consuming series of tests utilized to validate the performance of our bearings. We have been given all assurances by General Motors that it is doing what is necessary to conclude the validation process.''
General Bearing manufactures, sources, assembles and distributes a variety of bearing components and products. The Company manufactures ball bearings, tapered roller bearings, spherical roller bearings and cylindrical roller bearings. Under ''The General'' and the ''Hyatt'' trademarks, the Company supplies Original Equipment Manufacturers (OEMs) in the automobile, truck/trailer, railcar, office equipment, machinery and appliance industries, as well as the Industrial Aftermarket.
''Safe Harbor'' statement under the Private Securities Litigation Reform Act of 1995: This press release contains forward-looking statements that are subject to risks and uncertainties, including, but not limited to, the impact of competitive products, product demand and market acceptance risks, reliance on key strategic alliances, fluctuations in operating results and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission. These risks could cause the Company's actual results for the current FY and beyond to differ materially from those expressed in any forward looking statements made by, or on behalf of, the company.
SOURCE: General Bearing Corporation |
