Columbus McKinnon Corporation (NASDAQ: CMCO), a leading designer, manufacturer and marketer of material handling products, today announced the sale of certain assets within its American Lifts business to Autoquip Corporation for $2.4 million in cash. The transaction closed on October 30, 2009.
Autoquip, based in Guthrie, Oklahoma, designs and manufactures high quality scissor lift tables, vertical ram lifts and dock levelers that will be complemented by the American Lifts brand of versatile engineered lift tables. Autoquip plans to move the manufacturing of the American Lifts products to its Guthrie facility and Columbus McKinnon will close its Greensburg, Indiana, location and plans to sell the facility.
Timothy T. Tevens, President and Chief Executive Officer of Columbus McKinnon, commented, “American Lifts has a very strong brand in customized lift tables. Yet, as we rationalize operations and evaluate our product portfolio, it is clear that highly customized, distinctive application products, such as these lift tables are not a good strategic fit with our line of material handling equipment.”
The American Lifts business contributed approximately $7 million of revenue to Columbus McKinnon in the fiscal year that ended March 31, 2009. The Company expects to record a $0.8 million pretax gain on the transaction in its fiscal 2010 third quarter, which ends December 31, 2009.