PRESS RELEASE................MAY 15, 1997

ONSPOT AUTOMATIC TIRE CHAIN COMPANY

OPENS NEW MANUFACTURING FACILITY



Onspot Manufacturing Facility


Having 5 years of manufacturing experience under it's belt. Onspot of North America, Inc. has elected to build a new manufacturing plant in North Vernon, IN, 1/4 mile from it's current facility, to handle the increasing demand for the Onspot automatic tire chain system.


The Company purchased the marketing rights to the Onspot product from Onspot AB in Sweden in 1988. ONA imported the system from 1988 through 1992. In 1992 ONA signed a manufacturing license agreement with Onspot in Sweden and commenced manufacturing the system in North Vernon, Indiana.


"Not only has the North American demand for the Onspot system increased over the past 5 years, but the Onspot factory in Sweden is now our 4th largest customer, which warrants construction of the new facility" according to Onspot on North America's President, Patrick Freyer.


The new facility, nearly twice as large as the current space, includes a complete R & D Center with a cold room for better testing of the product and a prototype installation area for further product development and adaption to more applications. ONA currently sells to over 90 OEMS and 300 dealers throughout North America that are primarily focused on the Emergency, School, Bus, Delivery truck, and Utility markets.


ONA expects to enjoy major productivity gains with this new facility and has already announced to it's distribution system that the Company WILL NOT raise prices for the 1997-1998 winter season as a result of these gains.


For more information, please contact Onspot of North America, Inc. Corporate Office - Stratford, CT at 1-800-766-7768

 

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