COACHMEN INDUSTRIES PROPOSES TO ACQUIRE KANBUILD
ACQUISITION FURTHERS STRATEGIC PLAN TO GROW MODULAR SEGMENT
ELKHART, Ind., Nov. 20 /PRNewswire/ -- Coachmen Industries, Inc. (NYSE: COA -
news), a leading full line producer of recreational vehicles and the nation's
largest producer of modular housing, and KanBuild, Inc., a quality manufacturer
of modular buildings located in the Central Midwest, announced today that they
have signed a Proposal to Purchase KanBuild, Inc. The Proposal would allow
Coachmen to acquire all the outstanding common and preferred stock of KanBuild,
subject to the approval of both boards, customary due diligence, entry into a
Definitive Purchase Agreement and satisfaction of other conditions.
KanBuild, founded in 1989, is a privately held company that specializes in
customized construction of modular buildings for residential, multi-family and
commercial uses. KanBuild designs are contemporary, functional and attuned to
the most progressive trends in the building industry. The company, with 1999
sales of $28 million, has plants located in Osage City, Kansas; Loveland,
Colorado; and is building a new, larger plant in Millikin, Colorado.
"This acquisition strengthens our position in modular construction and fits our
strategic plan to expand this core business of Coachmen," stated Claire C.
Skinner, Chairman, CEO and President at Coachmen. "The KanBuild acquisition will
be the third expansion by Coachmen of its modular business this year." In June
Coachmen acquired all of the outstanding shares of Mod-U-Kraf, Inc., a modular
home and special products manufacturer headquartered in Rocky Mount, Virginia.
In October Coachmen completed its acquisition of Miller Building Systems, Inc.
Miller, based in Elkhart, Indiana, is one of the nation's premier manufacturers
of commercial modular buildings.
"Joining Coachmen will afford KanBuild the opportunity to continue its growth
and implement its strategic plan. We are very pleased to have the opportunity to
become part of the Coachmen team given the company's financial strength and
commitment to modular housing growth, its customers and employees," commented
John Samples, KanBuild's President. Under the agreement, KanBuild's current
management team will remain in place, as will the company's approximately 360
employees.
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Coachmen Industries, Inc. is one of the nation's leading full-line manufacturers
of recreational vehicles and modular construction. Coachmen is one of the
industry's best-known brand names of RVs and All American Homes, one of the
company's modular subsidiaries, is America's leading producer of modular homes.
Coachmen is a publicly held company with stock listed on the New York Stock
Exchange (NYSE) under the COA ticker symbol. This release contains
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. Investors are cautioned not to place undue
reliance on forward-looking statements, which are inherently uncertain. Actual
results may differ materially from that projected or suggested due to certain
risks and uncertainties including, but not limited to the potential fluctuations
in the Company's operating results, the implementation of its enterprise-wide
software, the availability and pricing of gasoline, the Company's dependence on
chassis suppliers, interest rates, competition, government regulations,
legislation governing the relationships of the Company with its recreational
vehicle dealers and other risks identified in the Company's SEC filings.
