ASTRUM INTERNATIONAL CORP. ACQUIRES AMERICAN TOURISTER FROM HILLENBRAND INDUSTRIES
NEW YORK, Aug. 30 /PRNewswire/ -- Steven J. Green, chairman, president and chief executive officer of Astrum International Corp. announced today the closing of its purchase of American Tourister luggage company from Hillenbrand Industries, Inc. American Tourister will be operated as a separate subsidiary of Astrum International. This approximately $68 million transaction is the first strategic acquisition in Astrum's worldwide business expansion program. "We are proud that the famous American Tourister line of luggage joins Astrum International's family of world renowned products including Botany 500, Culligan water treatment products and Samsonite luggage," said Green. "The acquisition of American Tourister is part of our long term strategy to add well known consumer brand names to our already strong group of companies.
Our goal is to build upon American Tourister's reputation of quality products at an affordable price. We plan to expand product lines and intensify marketing both nationally and internationally to increase sales in new and existing markets," added Green.
The Company also announced that it has increased its credit facilities, from $100 million to $150 million, extended by a group of banks headed by Bank of Boston and Citicorp. Through Green's leadership, sales and market share in Astrum's major product lines increased during the recently completed reorganization process of Astrum International. Under Green's management, this outcome was achieved through an aggressive program to globalize the subsidiaries' operations and dramatically expand the presence of their products in overseas markets. Examples of the success of this globalization program include record-breaking sales at Samsonite and Botany retail outlets in Red Square's GUM department store, a major Culligan de-salinization project in Egypt, licensing of Culligan distributorships throughout Eastern Europe and distribution of Samsonite luggage throughout Eastern and Western Europe. The restructuring featured Green's commitment to maintain the size of the Astrum subsidiaries' U.S. work force. Consistent with this management philosophy, he fully intends to support American Tourister's strong American manufacturing base and increase its employment as Astrum's management expertise grows American Tourister's sales and revenues. Astrum International Corp. is a holding company with subsidiaries engaged in the manufacture and sale of a variety of consumer products throughout the world. Astrum's core businesses are Samsonite and American Tourister, luggage; Culligan, water treatment products; McGregor, including Botany 500, men's tailored clothing and Anvil, casual-shirts; Global Licensing, licensing trademarks; and Pet Specialties, pet food. -0- 8/30/93 /CONTACT: Michael W. Kempner, Laurie Terry, 201-342-9500, of MWW/Strategic Communications, Inc. Public Relations/ (HB)
CO: Astrum International Corp.; Hillenbrand Industries, Inc. ST: New York IN: HOU SU: TNM
LG -- NY067 -- 7144 08/30/93 14:26 EDT
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|Date:||Aug 30, 1993|
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