SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934
Date of Report (Date of earliest event reported) July 28, 1997
SPARTECH CORPORATION
(Exact name of registrant as specified in its charter)
DELAWARE 1-5911 43-0761773
(State or other jurisdiction (Commission (IRS Employer
of incorporation) Identification No.) File Number)
7733 Forsyth Blvd., Suite 1450, Clayton, Missouri 63105
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (314) 721-4242
page 1
SPARTECH CORPORATION
FORM 8-K
Item 5. Other Events
On July, 30, 1997 Spartech Corporation ("the Company")
announced that it signed an Asset Purchase and Sale Agreement
dated July 28, 1997 to purchase the net assets of Preferred
Plastic Sheet Division of Echlin, Inc. (Preferred).
Preferred is a well-established manufacturer of extruded
plastic sheet and profile products and is based in Greenville,
Ohio. Preferred has four operating facilities which together
annually generate approximately $75 - 80 million in net sales.
The acquisition will primarily be financed through a Private
Placement of Debt. The transaction is scheduled to close on or
before August 31, 1997.
Item 7. Financial Statements and Exhibits
Exhibits
99 Spartech press release dated July 30, 1997.
page 2
SIGNATURES
Pursuant to the requirements of the Securities Act of 1934,
the registrant has duly caused this report to be signed on its
behalf by the undersigned hereunto duly authorized.
SPARTECH CORPORATION
Date August 11, 1997 By /S/ Randy C. Martin
Randy C. Martin
Vice President-Finance
and Chief Financial Officer
SIGNATURES
Pursuant to the requirements of the Securities Act of 1934,
the registrant has duly caused this report to be signed on its
behalf by the undersigned hereunto duly authorized.
SPARTECH CORPORATION
Date August 11, 1997 By /S/ Randy C. Martin
Randy C. Martin
Vice President-Finance
and Chief Financial Officer
EXHIBIT 99
AT THE COMPANY: AT THE FINANCIAL RELATIONS BOARD:
Bradley Buechler David B. Mueller Bill Schmidle Mike Arneth
President and Chief Executive V.P. and Analyst Contact Jeff Wilhoit
Executive Officer Chief Operating Officer (312) 266-7800 General Inquiries
(314) 721-4242 (314) 721-4242 (312) 266-7800
Laura Kuhlmann-Doerer
Media Inquiries
(312) 266-7800
FOR IMMEDIATE RELEASE
WEDNESDAY, JULY 30, 1997
SPARTECH CORPORATION ANNOUNCES AGREEMENT TO PURCHASE NET ASSETS OF THE
PREFERRED PLASTIC SHEET DIVISION OF ECHLIN INC.
ST. LOUIS, MISSOURI, JULY 30, 1997 -- Spartech Corporation (NYSE: SEH)
announced today that it has entered into an agreement to acquire the net assets
of the Preferred Plastic Sheet Division of Echlin Inc. -- well-established
manufacturers of extruded sheet and profile products -- based in Greenville,
Ohio.
Spartech's President and Chief Executive Officer, Bradley B. Buechler,
stated, "We are enthusiastic about the prospect of Preferred's extrusion and
profile operations joining the Spartech family of plastics processing
companies. The addition of Preferred will be of strategic importance in
further strengthening our thirteen plant extruded sheet & rollstock segment --
Spartech Plastics. The acquisition will provide Spartech with certain new
production capabilities and strong technological leadership in the manufacture
of polyethylene sheet products. It should also improve operating efficiencies
throughout our extruded sheet & rollstock group."
Mr. Buechler further stated, "When completed, the combination of
Spartech's current annual sales volume of approximately $500 million and
Preferred's recent running rate of $75-$80 million will increase our annual
production capacity and total Company sales to more than 750 million pounds and
$575 million, respectively. Terms of the acquisition, which we anticipate to
be accretive to our earnings per share immediately, will be disclosed when the
transaction is completed."
Spartech's Executive Vice President and Chief Operating Officer, David B.
Mueller, stated, "Current plans call for the transaction to close, subject to
necessary consents and approvals, on or before August 31, 1997. The
acquisition will primarily be financed through a new $50 Million Private
Placement of Debt. Spartech plans on upgrading Preferred's manufacturing
equipment and putting additional capital into their facilities during the next
12-18 months."
Spartech is a leading producer of engineered thermoplastic materials,
polymeric compounds and molded products which today annually produces more that
500 million pounds from its twenty-two facilities located throughout North
America.
FOR MORE INFORMATION ON SPARTECH CORPORATION,
SIMPLY DIAL 1-800-PRO-INFO AND ENTER THE TICKER SYMBOL SEH.
SPARTECH IS ON THE INTERNET AT: http://www.spartech.com/
