Andrew Corporation is soliciting bids from real estate developers for its headquarters and manufacturing property in Orland Park as it considers relocation to nearby locations that would provide improved operational effectiveness and state-of-the-art facilities.
Andrew expects to make a final decision on relocation this summer, after bids on its property are received and evaluated. If bids on the 100-plus acres in the heart of Orland Park are sufficient, the sale of its Orland Park property will provide the cash funding that will enable Andrew to significantly upgrade its cable products manufacturing operations and headquarters facilities. The company will stay at its current facilities if bids do not meet its needs.
"The dramatic growth of Orland Park's residential and business areas near Andrew's long-time home has made the value of our property soar in recent years and increased the interest in our property by outside parties," said Ralph Faison, president and chief executive officer, Andrew Corporation. "We recently were approached by third parties with a strong interest in acquiring our property and, like past offers, we evaluated what is best for our business, particularly customers and shareholders. Our conclusion is that this could be an attractive opportunity to dramatically upgrade our facilities and operations effectiveness, with an overall positive financial effect."
If relocation proceeds, the company anticipates operating two new facilities--one for manufacturing and certain staff functions, and one for global corporate headquarters. Sites under consideration are in south and west suburban Chicago, including Orland Park, and northwestern Indiana. Andrew currently has approximately 950 employees at its Orland Park location.
"As much as we respect Andrew's history at this location, we cannot ignore a unique opportunity to improve Andrew's productivity and manufacturing capabilities, reduce costs, enhance employee well-being, create greater customer satisfaction, and improve shareholder returns," Faison said.
About Andrew
Andrew Corporation (NASDAQ:ANDW) designs, manufactures and delivers innovative and essential equipment and solutions for the global communications infrastructure market. The company serves operators and original equipment manufacturers from facilities in 35 countries. Andrew (www.andrew.com), headquartered in Orland Park, IL, is an S&P 500 company founded in 1937.
Forward Looking Statements
Some of the statements in this news release are forward looking statements and we caution our stockholders and others that these statements involve certain risks and uncertainties. Factors that may cause actual results to differ from expected results include the company's ability to integrate acquisitions and to realize the anticipated synergies and cost savings, the effects of competitive products and pricing, economic and political conditions that may impact customers' ability to fund purchases of our products and services, the company's ability to achieve the cost savings anticipated from cost reduction programs, fluctuations in foreign currency exchange rates, the timing of cash payments and receipts, end use demands for wireless communication services, the loss of one or more significant customers, and other business factors. Investors should also review other risks and uncertainties discussed in company documents filed with the Securities and Exchange Commission. Additionally, at certain times the company will use non-GAAP financial measures, which the company believes better describes the ongoing financial results and trends of the business. The required reconciliation of these measures to GAAP measures and a more detailed discussion of the reasons for using these measures are included in the company's Form 8-K and press release filed therewith and may be accessed from the company Web site at www.andrew.com.
Andrew Corporation
Rick Aspan (News Media), 708-349-5166
rick.aspan@andrew.com
or
Scott Malchow (Investors), 708-873-8515