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 December 28, 1999
SPARTECH CORPORATION
(Exact name of registrant as specified in its charter)
DELAWARE
(State or other jurisdiction of incorporation)
1-5911 43-0761773
(Commission File Number) (IRS Employer Identification No.)
120 South Central Avenue, Suite 1700, Clayton, Missouri 63105
(Address of principal executive offices) (Zip Code)
(314) 721-4242
(Registrant's Telephone Number, Including Area Code)
SPARTECH CORPORATION
FORM 8-K
Item 5. Other Events
This report files the Registrant's December 27, 1999 press release
announcing an agreement to acquire substantially all of the assets of High
Performance Plastics, Inc.
Item 7. Financial Statements and Exhibits
Exhibits
99 Spartech press release dated December 27, 1999.
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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 December 28, 1999 By /s/ Randy C. Martin
Randy C. Martin
Vice President-Finance and
Chief Financial Officer
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EXHIBIT 99
SPARTECH CORPORATION
AT THE COMPANY:
Bradley B. Buechler Randy C. Martin
Chairman, President and Vice President-Finance and
Chief Executive Officer Chief Financial Officer
(314) 721-4242 (314) 721-4242
FOR IMMEDIATE RELEASE
Monday, December 27, 1999
SPARTECH CORPORATION ANNOUNCES AGREEMENT
TO PURCHASE UNIROYAL TECHNOLOGY'S HIGH PERFORMANCE PLASTICS GROUP
St. Louis, Missouri, December 27, 1999 -- Spartech Corporation (NYSE:SEH)
announced today that it has entered into an agreement to acquire substantially
all of the assets of High Performance Plastics, Inc. ("HPP") a wholly-owned
subsidiary of Uniroyal Technology Corporation (Nasdaq NMS: UTCI) and a well-
established manufacturer of proprietary plastic products based in South Bend,
Indiana.
Spartech's Chairman, President and CEO, Bradley B. Buechler stated, "We are
enthusiastic about the prospect of adding the strength and diversity of HPP's
businesses, which had annual sales of $130 million for its most recent fiscal
year ended September 26, 1999. HPP, through its two operating divisions--
Polycast (cell cast acrylic) and Royalite (extruded thermoplastic sheet)--will
significantly expand Spartech's product offerings to customers, increase
production capacity through nine additional manufacturing plants located
throughout North America, and broaden our technical and marketing expertise in
serving several new growth industries for Spartech ... currently over 75%
of HPP's sales are derived from products or markets in which Spartech has
not previously competed."
Mr. Buechler further stated, "When completed, this transaction will
increase Spartech's annual sales from approximately $810 million (pro forma for
all fiscal 1999 acquisitions) to a level approaching $950 million by the end of
fiscal 2000. We anticipate that this acquisition, which has an approximate
$217.5 million purchase price, will be accretive to our earnings per share
immediately. Current plans call for the acquisition to close, subject to
necessary consents and approvals, on or before February 29, 2000. We expect to
retain nearly all HPP personnel following completion of the transaction,
additional terms of which will be disclosed when the acquisition is completed."
Spartech, which recently announced its eighth consecutive year of record
sales ($767.9 million) and earnings ($43.1 million or $1.48 per diluted share),
is a leading producer of engineered thermoplastic materials, polymeric
compounds, and molded & profile products, with current annual production
capacity of more than 1.5 billion pounds from its 43 manufacturing facilities.
Safe Harbor For Forward-Looking Statements
Statements contained herein which are not historical facts are forward-
looking statements within the meaning of the Securities Act of 1933 and the
Securities Exchange Act of 1934 which are intended to be covered by the safe
harbors created thereby. For a summary of important facts which could cause the
Company's actual results to differ materially from those included in, or
inferred by, the forward-looking statements, refer to the Company's Form 10-K
for the fiscal year ended October 31, 1998, which is on file with the Securities
and Exchange Commission.
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