Record Orders, Highlighted by Best-Ever Month in May
for Fire Truck Chassis, Spur Expansion
CHARLOTTE, Mich., June 15 /PRNewswire-FirstCall/ — Spartan Chassis, Inc.,
a subsidiary of Spartan Motors, Inc. (Nasdaq: SPAR), will break ground in July
2006 on a new $14.5 million, 102,000-square-foot manufacturing facility in
Charlotte, Mich. The new plant will help Spartan meet increasing demand for
fire truck chassis and fuel its entry into future specialty product segments,
while also freeing up capacity for growth in its recreational vehicle and
military chassis businesses.
Spartan Chassis also reported its best month of orders for fire truck
chassis in the Company’s 30-year history with 188 orders in May 2006. The
Charlotte, Mich.-based manufacturer of custom chassis for recreational
vehicles, fire trucks and military defense vehicles also reported it is on
pace to achieve its third consecutive quarter of increased orders in the
second quarter ending June 30, 2006.
“We continue to see order momentum building due in large part to our
strategic partnerships with dealers and apparatus builders. As we continue to
grow market share for our fire truck chassis, we need the plant capacity and
production line efficiency to stay ahead of customer demand, and this new
facility gives us just that,” said Richard Schalter, president of Spartan
Chassis.
The facility, which will begin producing chassis and cabs in May 2007,
will feature multiple production lines, new and more efficient paint stations
and a layout designed to accommodate lean manufacturing processes. The new
plant is also expected to result in staff additions as production ramps up.
“In addition to the increased demand for our existing fire truck chassis,
we have several product development initiatives which we expect to debut in
2007 that will require increased cab and chassis production capacity,” said
John Sztykiel, president and CEO of Spartan Motors. “These product
initiatives are based around the military business, as well as future
specialty chassis products, illustrating our strategic vision to become North
America’s premier manufacturer of specialty vehicles and chassis.”
Sztykiel concluded: “Spartan Chassis has had excellent performance over
the last several quarters and this investment underscores the Board’s
confidence in these new product initiatives and in Spartan Chassis’ capacity
to continue to grow shareholder value.”
About Spartan Chassis, Inc.:
Spartan Chassis, Inc. (http://www.spartanchassis.com ), a subsidiary of
Spartan Motors, Inc. (Nasdaq: SPAR), is a leading developer and manufacturer
of specialty chassis for recreational vehicles, fire trucks and military
defense vehicles. Spartan Motors (https://theshyftgroup.com ), which also
manufactures emergency rescue vehicles under the brand names of Crimson Fire,
Crimson Fire Aerials and Road Rescue, reported sales of $343.0 million in 2005
and is focused on becoming the premier manufacturer of specialty vehicles and
chassis in North America.
This release contains forward-looking statements, including, without
limitation, statements concerning our business, future plans and objectives
and the performance of our products. These forward-looking statements involve
certain risks and uncertainties that ultimately may not prove to be accurate.
Actual results and future events could differ materially from those
anticipated in such statements. Technical complications may arise that could
prevent the prompt implementation of the plans outlined above. The company
cautions that these forward-looking statements are further qualified by other
factors including, but not limited to, those set forth in the company’s Annual
Report on Form 10-K filing and other filings with the United States Securities
and Exchange Commission (available at http://www.sec.gov). Government
contracts and subcontracts typically involve long payment and purchase cycles,
competitive bidding, qualification requirements, delays or changes in funding,
extensive specification development and changes, price negotiations and
milestone requirements. An announced award of a governmental contract is not
equivalent to a finalized executed contract and does not assure that orders
will be issued and filled. Government agencies also often retain some portion
of fees payable upon completion of a project and collection of contract fees
may be delayed for long periods, which can negatively impact both prime
contractors and subcontractors. The company undertakes no obligation to
publicly update or revise any statements in this release, whether as a result
of new information, future events or otherwise, except as required by law.
SOURCE Spartan Chassis, Inc.
-0- 06/15/2006
/CONTACT: Karen Hildebrant of Spartan Chassis, Inc., +1-517-543-6400
x111; Ryan McGrath or Jeff Lambert of Lambert, Edwards & Associates,
+1-616-233-0500/
/Web site: http://www.spartanchassis.com
https://theshyftgroup.com /
(SPAR)
CO: Spartan Motors, Inc.; Spartan Chassis, Inc.
ST: Michigan
IN: AUT
SU:
TH
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3552 06/15/2006 09:23 EDT http://www.prnewswire.com