Mexican Industries & Cambridge Form Joint Venture
28 May 1998
Mexican Industries & Cambridge Form Joint Venture DETROIT, May 28 -- Mexican Industries of Michigan, Inc. and
Cambridge Industries, Inc. are pleased to announce the formation of a joint
venture to better serve the automotive industry through the manufacturing and
assembly of injection molded interior systems and subsystems.
Beginning in the fall of 1998, the joint venture will operate from a new
100,000 square foot facility currently under construction at 1400 Rosa Parks
Boulevard in the Detroit Empowerment Zone. The initial workforce will number
about 150 employees. A name for the company will be announced later this
year.
According to the management of both companies, the agreement is a direct
response to automotive customers who have expressed the need for more minority
content in their vehicles from qualified suppliers, and for high quality
systems and components utilizing state-of-the-art injection molding
technology. It is also designed to meet the challenge of providing more good
jobs in the city of Detroit.
Both Mexican Industries and Cambridge Industries are exceptional
automotive business success stories. Mexican Industries is a minority-owned
family-run supplier of leather wrapped steering wheels, driver and passenger
side air bags, tire covers, and other automotive soft trim products. The
company operates eight QS-9000 certified plants, four of which are in the
Empowerment Zone. Today the firm has about $176 million in sales and employs
about 1,500, of which 90% are minorities.
Over the last nine years, Cambridge has grown from a $5 million
organization with approximately 50 employees to a company with more than $500
million in sales and 19 manufacturing plants. It provides interior, exterior
and underhood systems and components to the automotive and commercial truck
industries. Also QS-9000 certified, the company has received numerous
interiors awards, including recognition as General Motors' Supplier of the
Year for Consoles and Instrument Panel Components for multiple years.
In commenting on the joint venture, James A. Merkhofer, Mexican
Industries' president noted that this is another step toward his
organization's mission to create minority employment in the inner-city while
providing customers with world-class quality, delivery and price.
Echoing these sentiments, Pat Pavelka, president of Cambridge's Interiors
Division noted that both company's expertise and dedication to quality should
provide an extraordinary basis for the future success of the joint venture.
"This is yet another example of Detroit leading the nation in attracting
industrial development," said the Honorable Dennis A. Archer, Mayor of the
City of Detroit. "Business expansion will continue in Detroit because of the
strategic thinking of companies like Mexican Industries and Cambridge, whose
combined strength exceed their individual capabilities to form a unique, more
responsive entity."
The new joint venture is designed to make the most of both organizations'
strengths. Cambridge will provide its program management expertise and
capabilities in engineering and injection molding of interior systems and
components, while Mexican Industries brings its unique level of successful
experience and skill in training and building an exceptional labor force in
both manufacturing and assembly.
Additional information regarding the joint venture will be announced as
the program is further solidified, spokespersons for both firms added.