GRAND RAPIDS, Mich.-Universal Forest Products, Inc. (Nasdaq: UFPI) today announced that a subsidiary of the Company has purchased certain assets of Haleyville, Ala.-based MSR Forest Products, LLC, a supplier of roof trusses and cut-to-size lumber to the region’s manufactured housing producers.
“MSR has been a strong company that has grown its success with great determination and skill”
The purchase was completed on May 16, 2012. The move allows Universal to enhance its capacity utilization and reduce costs as the Company merges its existing Haleyville, Ala., operations with the operations of MSR. In addition to its Alabama facility, MSR has a plant in Waycross, Ga., which also is a part of the transaction. In 2011, MSR had annual sales of $10 million.
“MSR has been a strong company that has grown its success with great determination and skill,” said Matthew J. Missad, CEO of Universal Forest Products, Inc. “However, with shrinking volume in the manufactured housing arena, it was difficult to maintain efficiencies and create profitable business. This move will benefit both companies. In addition, it allows Universal to underscore our commitment to maintain our leadership position in the industry in which we got our start, manufactured housing.”
“We will grow upon MSR’s long history of success and we will serve their customer base seamlessly, offering the quality and service for which Universal is known,” Missad added.
Said Richard Roberson, managing partner of MSR: “We entered into this agreement because we knew our valued customers would be well-served by Universal, which has grown its reputation for delivering excellence over nearly six decades. This is the right move for the industry, for our company and for the customers we’ve proudly served for so many years.”
Roberson and another MSR principal, Eddie Gamble, will stay on as consultants to the Universal operation for five years.
UNIVERSAL FOREST PRODUCTS, INC.
Universal Forest Products, Inc. is a holding company that provides capital, management and administrative resources to subsidiaries that design, manufacture and market wood and wood-alternative products for DIY/retail home centers and other retailers, structural lumber products for the manufactured housing industry, engineered wood components for residential and commercial construction, specialty wood packaging and components for various industries, and forming products for concrete construction. The Company's consumer products subsidiary offers a large portfolio of outdoor living products, including wood composite decking, decorative balusters, post caps and plastic lattice. Its lawn and garden group offers an array of products, such as trellises and arches, to retailers nationwide. Universal’s subsidiaries also provide framing services for the site-built construction market. Founded in 1955, Universal Forest Products is headquartered in Grand Rapids, Mich., with operations throughout North America. For more about Universal Forest Products, go to www.ufpi.com.
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