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WILLIAMS CONTROLS, INC. SUBSIDIARY ACQUIRES NMS

 PORTLAND, Ore., Aug. 25 /PRNewswire/ -- Williams Controls, Inc. (NASDAQ: WMCO) announced today that it has acquired, through its recently formed subsidiary Kenco/Williams, Inc., the assets of NMS-Auto & Truck Accessories, Inc., a company that manufactures and markets automotive and light truck accessories to the traditional aftermarket, automotive chains, and original equipment service operations of major automotive manufacturers. This acquisition is the second part of a two phase transaction, the first part of which was announced on July 23, 1993, when Williams Controls, Inc. acquired the assets of Kenco Engineering Division of Sparkomatic Corporation.
 NMS and its products will be merged into Kenco/Williams in an effort to broaden the current line-up of products offered. "By adding NMS to our roster," said Thomas W. Itin, chairman of the board of directors of Williams Controls, "Kenco/Williams gets immediate market entry into one of the fastest growing segments of the automotive accessories market -- the automotive and truck cargo net market -- which NMS began to develop two years ago."
 In addition to the cargo nets, NMS will bring to Kenco/Williams other products such as wings and spoilers, roof racks, ground effects, and related types of accessories. Further, NMS brings to Kenco/Williams nearly 20 years of automotive aftermarket expertise in the U.S. and in export markets. As part of the transaction, Henry A. Starr Jr., former NMS president, was named executive vice president and general manager of Kenco/Williams.
 Based on calendar year 1992 financial reporting for Kenco and NMS, the two phases of this acquisition will add Earnings Before Interest and Taxes (EBITs) of $1.2 million and sales of over $9.1 million to Williams Controls. In obtaining the $6.5 million of NMS and Kenco assets, Williams Controls assumed $1.8 million of Accounts Payable, issued 250,000 shares of Williams' stock and options to purchase 50,000 shares at the current market price of $1.68. In addition, Williams borrowed $4.5 million to finance the transaction, including a $1 million note carried back by Sparkomatic.
 NMS will immediately close its operations in Canton, Mich., and relocate to the Kenco/Williams facilities in Middlebury, Ind. (just east of Elkhart and South Bend). A sales and administrative office for Kenco/Williams will also be shared with Williams Controls in West Bloomfield, Mich.
 Williams Controls, Inc. manufactures a wide range of electronic controls, pneumatic and hydraulic controls, and exhaust brakes which are used primarily in the heavy vehicle industry worldwide. Through its Kenco/Williams, Inc. subsidiary, it is also a leading manufacturer and marketer of light truck and utility vehicle accessories.
 -0- 8/25/93
 /CONTACT: Thomas W. Itin of Williams Controls, 503-684-8600/
 (WMCO)


CO: Williams Controls, Inc.; Kenco/Williams, Inc.;
 NMS-Auto & Truck Accessories, Inc. ST: Oregon; Michigan IN: AUT SU: TNM


KE -- DE020 -- 5804 08/25/93 15:15 EDT
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Publication:PR Newswire
Date:Aug 25, 1993
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