Lippert Components Inc., a subsidiary of Drew Industries Inc., has acquired LTM Manufacturing LLC, a supplier of slideout systems that include specialty slideout trays for batteries, LP and storage tanks as well as electric stabilizer jacks, flexguard slideout wire protection systems and slideout patio decks.
LTM of Smith Center, Kan., had $4 million in sales revenue in 2002, but that was mainly because Michael Nebel, the inventor of LTM’s products and the company’s founder and owner, also was its only salesperson. With Goshen, Ind.-based Lippert’s greater marketing resources, Lippert believes it can significantly increase the customer base for LTM products.
Nebel will join Lippert as manager of research and development and the LTM plant in Kansas will be used primarily for R&D. But the majority of LTM’s production will be transferred to Lippert’s more efficient factories.
Several LTM products are patented and have been introduced to the RV market only on a limited basis. Consequently, Lippert believes LTM’s innovative, time-saving and convenient products have not yet realized their full sales potential.
To acquire LTM, Lippert paid $3.85 million for its patents and the LTM facility in Kansas. Lippert also repaid a $250,000 LTM debt.
Additionally, Nebel’s employment contract with Lippert includes incentives for the development and sale of new products.
“Mr. Nebel has a proven track record of developing new products for the RV industry, and his employment contract with Lippert provides for the development and sale of new products.”
Lippert’s parent company, Drew, an American Stock Exchange-listed firm in White Plains, N.Y., had $325 million in sales revenue in 2002. Now, about 45% of the parent company’s sales comes from RV industry customers, with manufactured housing industry firms providing the remainder
In addition to slideout systems, Lippert is a supplier of frames to the manufacturers of towable RVs. Drew’s other major RV industry supplier subsidiary is Kinro, which makes windows, doors, bath and shower units.