|FOR IMMEDIATE RELEASE||For More Information, Contact|
|June 15, 2010||Jim Drewitz, Investor Relations|
ART’S WAY MANUFACTURING ANNOUNCES ACQUISITION COMPLETION OF M&W ROUND HAY BALER PRODUCT LINE FROM ALAMO GROUP, INC.
ARMSTRONG, Iowa, June 15, 2010 – Art’s Way Manufacturing, Inc. (NASDAQ: ARTW), a leading manufacturer and distributor of niche agricultural machinery, equipment and services, is pleased to announce the Company completed the acquisition of the M&W round hay baler product line of Gibson City, IL, www.mw-gear.com , an Alamo Group Inc. company (NYSE: ALG).
The family of simple-to-use round hay balers from M&W includes nine different models in four different series to handle most any haying application. Depending on model, M&W balers form a 4′ x 4′, 4′ x 5′, 5′ x 5′, or 5′ x 6′ bale to fit a wide range of haying operations. M&W balers feature fewer moving parts, when compared to “like” competitive balers, helping keep maintenance costs minimal. Operation is simple due to fewer moving parts; an “open-throat” chamber design that reduces the risk of bale starting problems; and an easy push button tying mechanism. As a result, operator fatigue and time spent in the field is reduced. Push button twine tying is standard on the 4407, 4500, 5506, and 5600 balers. The 4497, 4590, 5596, and 5690 feature either push button twine or net wrap tying systems to fit a wider range of haying operations. Unlike competitive belt balers, the M&W bale chamber is nearly fully enclosed which reduces leaf loss, resulting in a higher quality bale.
J. Ward McConnell, Jr., Chairman of the Board, said, “The M&W round hay baler line is one of the most respected brands in the industry and we are extremely pleased to add this line to the Art’s Way family. We believe the M&W line will be earnings accretive immediately, hold a compelling valuation, is an outstanding fit with our industry-leading niche Ag equipment and is another important element in our ‘roll-up strategy’.
“This vertical acquisition allows us to expand our product line, improve our leadership position, build our asset base for revenue growth and increase shareholder value. Additionally, there is a loyal and dedicated group of M&W dealers nationwide who will now be introduced to Art’s Way complete product line.”
About Art’s Way Manufacturing, Inc.
Art’s Way manufactures and distributes farm machinery niche products including animal feed processing equipment, sugar beet defoliators and harvesters, land maintenance equipment, crop shredding equipment, round hay balers, plows, hay and forage equipment, manure spreaders and top and bottom drive augers. After market, service parts are also an important part of the Company’s business. We have two wholly owned subsidiaries. Art’s Way Vessels Inc. manufactures pressurized tanks and vessels; Art’s Way Scientific Inc. manufactures modular animal confinement buildings and modular laboratories.
For More Information, Contact: Jim Drewitz, Investor Relations
Or visit the Company’s website at www.artsway-mfg.com
This news release includes “forward-looking statements” within the meaning of the federal securities laws. Statements of anticipated future results are based on current expectations and are subject to a number of risks and uncertainties, including but not limited to, quarterly fluctuations in results, customer demand for the Company’s products, domestic and international economic conditions, the management of growth and other risks detailed from time to time in the Company’s Securities and Exchange Commission filings. Actual results may differ markedly from management’s expectations. The Company cautions readers not to place undue reliance upon any such forward-looking statements.