Flow International Corporation Establishes Minority Ownership Position in Leading Chinese Waterjet Manufacturer
KENT, Wash., Nov. 25 /PRNewswire-FirstCall/ -- Flow International
Corporation, the world's leading developer and manufacturer of industrial
waterjet machines for cutting and cleaning applications, announced today that
it has agreed to purchase a $2 million minority ownership position in Dardi
International Corporation, China's leading waterjet manufacturer.
Privately held Dardi is the world leading waterjet supplier for the
"economy" segment of the market, and the largest volume producer of waterjets
in Asia with three factories located near Nanjing, China. In September, Flow
introduced Dardi as the new supplier of its economy segment product line. By
establishing a minority equity position with Dardi, Flow gains further access
to Dardi's low cost factories as well as its extensive distribution network in
China.
Charley Brown, Flow's President and CEO commented: "For many months, we
have been discussing an equity position in Dardi that included a potential
majority interest. In light of current economic conditions, we feel it prudent
to keep our investment in check, while not diminishing the long term advantage
that we gain by utilizing Dardi's manufacturing and distribution base in
China. We have struck a good balance of minimizing our investment while
continuing to pursue our strategic interests in the high growth China market
and throughout Asia."
The transaction will close following receipt of approval from the Chinese
government and satisfaction of typical closing conditions.
About Flow International
Flow International Corporation is the world's leading developer and
manufacturer of ultrahigh-pressure waterjet technology for cutting and
cleaning. Flow provides state-of-the-art ultrahigh-pressure (UHP) technology
to numerous industries including automotive, aerospace, job shop, surface
preparation, food and dozens more. For more information, visit
http://www.flowcorp.com.
This press release contains forward-looking statements relating to future
events or future financial performance that involve risks and uncertainties.
The words "believe," "expect," "intend," "anticipate," variations of such
words, and similar expressions identify forward-looking statements but their
absence does not mean that the statement is not forward-looking. These
statements are only predictions and actual results could differ materially
from those anticipated in these statements based on a number of risk factors,
including those set forth in the April 30, 2008 Flow International Corporation
Form 10-K Report, filed with the Securities and Exchange Commission.
Forward- looking statements in this press release include, without limitation,
statements regarding Flow's access to Dardi's factories and distribution
network. Readers are cautioned not to place undue reliance on these
forward-looking statements that speak only as of the date of this
announcement.
