Newton Independent
Trinity Industries, the Dallas-based parent company of the wind energy structural tower plant located in a portion of former Maytag Plant 2, last week agreed to acquire Quixote Corporation in a deal valued at $61 million.
Quixote is a developer and manufacturer of highway products designed to protect and direct motorists. When the merger is completed in the first quarter of this year, Quixote will be combined with Trinity's Construction Products business.
Financing for the acquisition will come from Trinity's available cash on hand, which stood at $545 million at the end of the corporation's third quarter at the end of last September.
In regard to Trinity's Energy Equipment Group, which the Newton plant is a part, revenues for the third quarter of 2009 stood at $132.7 million, compared to $184.5 million for the same period the year before. The Group produced operating profit of $16.2 million for the quarter, compared to $32.5 million in the third quarter 2008.
The order backlog for structural wind towers as of Sept. 30, 2009 totaled approximately $1.1 billion.
For the nine-month period ended in September, Trinity reported a net loss of $152.3 million, which included an after-tax charge of $243.3 million in the second quarter for costs associated with its rail business. The company previously closed rail car production plants.
A press release on the acquisition can be read here.
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