Remy International, Inc. Business Report FY2011
Business Partnership-Remy International, Inc. and Lucas-TVS, Ltd., an Indian-based manufacturer of automotive electrical products, announced that they have entered into a business co-operation agreement. The agreements between the companies include cross-technology licenses, product sales, engineering support and supplier sourcing support. The agreements will allow Remy to license certain products from Lucas-TVS for Remy to manufacture and sell around the world. Lucas-TVS will license certain Remy products to make and sell in India. (From a press release on October 28, 2011)
-Remy Electric Motors, LLC, a subsidiary of the Company, and Odyne Systems, LLC, a U.S.-based manufacturer of hybrid systems for medium and heavy duty trucks, have signed a long term motor supply agreement. Under the new agreement, Odyne will use Remy's HVH250 electric motors in their plug-in hybrid system. Companies like GM, BMW, Allison Transmission, AMP Electric Vehicles and Aptera use the Remy HVH electric motor. (From a press release on May 25, 2011)
Contracts-The Company announced it has been awarded a three-year contract to supply HVH 250 electric motors for the ALTe Powertrain Technologies. ALTe, based in the U.S., develops electric powertrains with a focus on light- to medium-sized delivery trucks, vans, and shuttle buses. (From a press release on June 9, 2011)
-The Company announced that it will supply its HVH250 electric motors to US-based Aptera Motors for the 2e all-electric three-wheel vehicle. (From a press release on April 14, 2010)
-The Company signed a letter of intent for a long-term motor supply agreement with US-based Advanced Mechanical Products, Inc. (AMP). AMP engages in the conversion of ordinary cars to electric vehicles. Under the contract, the Company will provide its HVH250(TM) electric motors for AMP. The vehicles currently available for AMP custom conversions are GM's Saturn Sky and Pontiac Solstice. (From a press release on February 15, 2010)
-The Company signed a 10-year motor supply agreement with US-based Allison Transmission, Inc. Under the contract, the Company will provide Allison with its HVH410(TM) electric motors for Allison's hybrid truck drive systems to be produced in Indianapolis, Indiana, USA. The motors will be made in Remy's Anderson facility, Indiana, USA. (From a press release on February 11, 2010)
-The Company reached an agreement with Allison Transmission to continue to supply its electric motors for the GM-Allison Hybrid EP40 and EP50 systems, two-mode parallel hybrids for buses. The new contract lasts until the end of 2014. The Company will be supplying current volume levels and will increase volume with demand. The electric motors for Allison are manufactured at the Remy Product Launch Center in Anderson, Indiana, USA. (From a press release on January 27, 2010)
-The Company announced it is supplying Daimler with its HVH electric motor used in the 2010 Mercedes-Benz ML450 Hybrid recently released to U.S. market.The Company will be supplying two HVH electric motors per vehicle. The HVH motors for the Mercedes ML450 Hybrid will be manufactured at the Company's manufacturing plant in Mezokovesd, Hungary. And the Mercedes ML450 Hybrid will be produced at the Mercedes manufacturing plant in Tuscaloosa, Alabama. (From a press release on January 20, 2010)
Awards-The Company received the 2010 Masters of Quality Award from Daimler Trucks North America LLC (DTNA). It is the fifth occasion and third consecutive year where the Company has received this honor. The Company's manufacturing facility, Remy Mexico, SRL De C.V., located in Mexico, supplies Delco Remy brand heavy duty alternators and starters to DTNA. (From a press release on August 1, 2011)
-Remy Electricals (China) Company has received an award from Xian Cummins Engine Company for Customer Support Excellence. Xian Cummins has over 100 suppliers, and Remy Electricals (China) is one of seven Xian Cummins suppliers to receive the award. The company is providing the Delco Remy 38MT starter motor to the Xian Cummins ISM engine. (From a press release on December 21, 2010)
-Remy Automotive Brazil won the MAN Latin America Supply Award for "commercial excellence in electrical". Remy Automotive Brazil supplies MAN Latin America with starters, alternators, and magnetic switches that are used in VW branded trucks, buses, and special vehicles produced in Brazil. This is the third time Remy has received an award from the MAN Latin America. In 2005 and 2006, Remy won the Supply Award in the category "Competence on Product Development". (From a press release on November 29, 2010)
-The Company signed a long term electric motor supply agreement with AMP Holding, Inc. AMP is a US-based company engaged in the conversion of ordinary vehicles to electric vehicles. Under the agreement, Remy will supply its HVH250 motors exclusively for the AMP electric vehicle conversions of GM Chevrolet Equinox crossover model, AMP's most recent addition. AMP's first models to all-electric are the GM Saturn Sky and the Pontiac Solstice, which are also equipped with the HVH250. (From a press release on August 10, 2010)
-Received the 2009 Masters of Quality Award from Daimler Trucks North America (DTNA). Remy was honored with the award for the second consecutive year and four times overall. The Remy manufacturing facility, Remy Mexico, SRL De C.V., supplies heavy duty alternators and starters to DTNA. It also provides Freightliner trucks with alternators and starters. (From a press release on July 13, 2010)
RestructuringThe Company completed plans for the following restructuring actions:
-Further consolidation of distribution centers in North America including the closure of the distribution center in Mississippi.
-Closure of the production facility and engineering center in Poland and relocation of production to other facilities in Europe, Mexico and Korea.
-Reduction in force in North America and Europe due to current economic conditions.
-Reduction of warehouse space in the United Kingdom.
-The Company announced the closure of its Poland manufacturing facility in October which was sold in the second quarter of 2009.
-Consolidation of the Belgium warehouses from three to one.
-Realignment and streamlining of capacity at manufacturing, administration, technical, and distribution locations in North America and consolidation of the OE Division’s Mexican manufacturing facilities from four to three.
-Combination of two Chinese manufacturing facilities into one.
-Closure of four facilities in its U.S. operations resulting in a reduction in workforce of approximately 253 employees.
-Further consolidation of excess office and storage facilities.
-Restructuring of remanufacturing operations in Europe which included consolidation of operations.
-Closure of certain U.S. remanufacturing operations and distribution facilities.
-Closure of two U.S. warehouses.
Divestitures-In January 2007, the Company announced the signing of an agreement for the sale of its light and medium truck diesel engine and component remanufacturing business conducted by Franklin Power Products, Inc. and International Fuel Systems to Caterpillar Inc. for a cash purchase price of 150 million dollars.
Emergence from chapter 11-The Company announced on December 6, 2007 that it has successfully emerged from chapter 11 protection less than 59 days after filing its pre-packaged plan of reorganization and petitions. As previously announced, the pre-packaged plan of reorganization was confirmed by the Court on November 20, 2007.(From a press release on Dec. 6)
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-The Company announced that it is receiving a grant of 60.2 million dollars from the United States Department of Energy. The federal grants are intended to accelerate the production and deployment of the next generation of U.S. electric vehicles and batteries. The Company will utilize this funding mainly to establish a domestic manufacturing base for automotive electric motors and power electronics. (From a press release on Aug 5, 2009)
-The Company holds a Technical Center in USA and an Engineering laboratory in Korea.
Product Development-The Company announced the launch of a new business unit, Remy Electric Motor Technologies, to further target the electric vehicle/hybrid-electric vehicle market for the delivery of its electric drive motors. The Company expects the unit to bring in revenue of 500 million dollars. (From a press release on February 5, 2010)
-The Company developed HVH250 - an electric motor based on its Voltage Hairpin technology (HVH). (From a press release on October 6, 2009)
-The Company's subsidiary Remy Electric Motors, LLC and ZAP have signed a strategic agreement to develop and supply electric motors. As a result, Remy's HVH250 electric motors will be used in ZAP's passenger cars and sports utility vehicles. (From a press release on November 4, 2010)
-The Company entered into an agreement with MotoCzysz LLC to commercialize a new application of the D1g1tal Dr1ve electric drive system for automobiles. The new drive system leverages Remy's electric motor technology and cooling and integration technology from MotoCzysz. The first D1g1tal Dr1ve will utilize a liquid-cooled Remy Internal Permanent Magnet (IPM) motor. The Company and MotoCzysz will make the unit available in the second quarter of 2011. (From a press release on August 24, 2010)
-The Company and Enova Systems, Inc. will collaborate in the development of an electric drive system, which combines Remy High Voltage Hairpin (HVH) motor with Enova Omni Controller. Enova develops and produces drive systems and related components for electric, hybrid-electric, and fuel cell powered vehicles. (From a press release on August 12, 2010)