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ALLEN GROUP ANNOUNCES SALE OF ITS ALLEN TESTPRODUCTS DIVISION

 BEACHWOOD, Ohio, March 30 /PRNewswire/ -- The Allen Group Inc. (NYSE: ALN) announced today it has signed a definitive agreement to sell its Allen Testproducts division and its wholly owned leasing subsidiary Allen Group Leasing to SPX Corporation (Muskegon, Mich.). Allen Testproducts manufactures and sells automotive engine diagnostic equipment and automotive emission test equipment. This transaction has been approved by both the Allen and SPX boards of directors and is subject to U.S. Government review and other customary conditions before being completed.
 The purchase price is based on book value and payment will consist of a combination of cash and a subordinated note, with additional future consideration based on performance. Allen will recognize a modest loss at the time of closing due to transaction costs, exchange losses, and certain reserves for contingencies.
 Robert G. Paul, president and CEO of Allen said, "The combination of SPX's Bear Automotive division and Allen Testproducts can help create a more valuable business in the future, particularly in its ability to compete on a global basis. Allen has confidence in the future of this industry, and our Testproducts division will benefit from this strategic alliance to better insure it reaches its full potential.
 "This sale does not include our MARTA subsidiary which operates Centralized Emission Testing programs. Allen continues to be committed to and excited about the Centralized Emission Testing business in the U.S. We believe we can be an important participant in this rapidly growing industry."
 The Allen Group Inc. (NYSE: ALN) manufactures and markets electronic and other products, principally for the telecommunications and automotive industries, including mobile communications equipment, automotive test equipment and truck components.
 SPX Corporation is a leader in serving the global transportation industry through the design, manufacture and marketing of specialty service tools and replacement engine and under vehicle parts for the repair and maintenance of motor vehicles. The company also produces window and door hardware, high-pressure hydraulic products, and solenoid valves.
 -0- 3/30/93
 /CONTACT: Robert A. Youdelman of The Allen Group, 216-765 5820/
 (ALN)


CO: The Allen Group; SPX Corporation ST: Ohio, Michigan IN: AUT TLS SU:

BM -- CL004 -- 0901 03/30/93 09:23 EST
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Publication:PR Newswire
Date:Mar 30, 1993
Words:360
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