MAJOR GERMAN MANUFACTURER ANNOUNCES FORMATION OF $750 MILLION NORTH AMERICAN GROUP; COMPANY TO BE HEADQUARTERED IN WORCESTER, MASS.
WORCESTER, Mass., May 4 /PRNewswire/ -- Deutsche Babcock AG, the $5 billion power engineering and construction group headquartered in Oberhausen, Germany, today announced that it has formed a new active North American company to be headquartered in Worcester, Mass. Announcement was made by Dr. Heyo Schmiedeknecht, chief executive of Deutsche Babcock and chairman of its managing board. The new company, to be known as Deutsche Babcock Technologies, will combine some 18 companies. The North American companies provide world- class technologies, components, processes, materials and services in the fields of power and environmental engineering, mechanical engineering, industry and system engineering, power transmission engineering, and trading. Facilities in both the United States and Canada are included in the group whose combined employment is over 2,500 jobs. H. Kerner Smith, 48, chairman of Riley Consolidated, Inc., the leading company in the group, and formerly vice president of Babcock & Wilcox, will be president and chief executive officer of Deutsche Babcock Technologies. Smith will be based in Worcester. Hailing the selection of Massachusetts as headquarters for the business, the leadership of the commonwealth, Governor William Weld said, "It's exciting to see a leader like Deutsche-Babcock Technologies decide to locate their company headquarters in Worcester. This decision sends a strong message that Massachusetts is a business-friendly environment committed to the needs of manufacturers in this state." Sen. Edward M. Kennedy (D-Mass.) said in part, "As our international economy continues to grow, it is important that we make effective levels among advanced economies, especially in technology-oriented markets." Sen. John Kerry (D-Mass.) said of the decision to locate in Worcester that it "is a strong endorsement for Worcester and its tradition of excellence in manufacturing. It is also an important opportunity for Worcester and Massachusetts to maintain ties to the international community of manufacturers and to the leading edge of manufacturing and environmental technology. Says Smith of the new group, "Our businesses are world leaders in their respective fields. By combining them here in North America, we can bring tremendous technological and financial strength to bear on the power, energy, and environmental problems we face here and we anticipate significant growth in both market share and jobs." -0- 5/4/93 /CONTACT: Carol Jennings of Jennings & Company, 617-661-9580 for Deutsche Babcock Technologies, Inc./
CO: Deutsche Babcock Technologies, Inc. ST: Massachusetts IN: CPR SU:
DD -- NE011 -- 4593 05/04/93 17:54 EDT
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|Date:||May 4, 1993|
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