PSN Components Signs Letter of Intent to Purchase Newell Porcelain.

POUGHKEEPSIE, N.Y. -- PSN Components, 11 Toms Way, Poughkeepsie, New York, a global manufacturer of high quality electro-porcelain insulators for medium and high voltage applications announced today they have signed a Letter of Intent to purchase the assets of Newell Porcelain, Newell, West Virginia.

Hemal R. Desai, CEO of PSN Components, and a principal of the enterprise, made the announcement in a letter mailed to their U.S. customers and sales representatives. "Since the suspension of activities at the Newell Porcelain facility in August, many utility customers have asked us to take on added production capacity necessary to meet their needs," Desai stated in the letter. "Their concerns center around maintaining the competitive pricing, and delivery options, available from a reputable domestic supplier. Utilities, OEMs and Packagers could be at the mercy of the remaining U.S. porcelain manufacturers, without an active alternate source."

The CEO stated it is PSN Components' intention to maintain the traditions, and to perpetuate the level of customer care people have come to expect from Newell Porcelain.

"We anticipate being able to quickly combine the best of both enterprises, maintaining a U.S. manufacturing presence, supplemented with our existing off-shore, technologically-superior capabilities," the CEO reported. "The resulting cost-effective operation, we believe, would be capable of delivering the voltages, application and configuration ranges utilities, packagers and OEMs need."

Newell Porcelain briefly suspended operations the end of August, breaking a continuous span of more than 50 years manufacturing solid core station and line post insulators. Desai noted that the company fulfilled their current obligations to customers before closing; however, leaving no company "hanging" because of their situation.

"For the past seven years, PSN Components has been providing U.S. utilities with the highest quality porcelain insulators modern technology can produce. We have always focused on creating a customer-centric viewpoint. Our new work cell production concept, state of the art Kilns, Turning Machines and Pug Mills allow us to manufacture high quality insulator products in a cost effective manner," Desai stated.

PSN Components' insulators are currently used by Commonwealth Edison, The Southern Company, New York Power Authority, Orange and Rockland, and other major electric utilities.

PSN Components' U.S. headquarters is located at 11 Toms Way, Poughkeepsie, NY 12603. PSN Components' warehousing facilities are located in Carol Stream, Illinois and Mullins, S.C. Their telephone number is 845-297-0867; fax is 845-296-0171.