Volume 13, Issue 1 - January-February 2011


AGR Reports
breaking news

Carlite Business Sold to Central Glass Co. Ltd.
Japan-based Central Glass Co. Ltd. and Zeledyne LLC have signed a definitive agreement for “the proposed purchase of certain assets owned by Zeledyne LLC.” Among the assets included in the proposed sale are Zeledyne’s Nashville, Tenn., plant, which manufactures auto glass for both the OE and aftermarket segments; and the Carlite aftermarket replacement glass business, according to statements from both companies.

According to the announcement, the two companies expect the sale to close early this year. Terms of the deal have not been disclosed.

“With the signing of these agreements, Zeledyne and Central Glass begin the final phase of negotiations on details associated with the proposed sale,” wrote Zeledyne in its January 2011 statement. “No timetable has been announced for these confidential negotiations.”

Zeledyne spokesperson Della Dipietro advised the agreement to sell came as a result of the continued downturn in the economy.

“Despite aggressive cost-cutting and operational improvements Zeledyne has been unable to achieve its performance objectives, in part due to the severe economic downturn,” Dipietro told AGRR™ magazine.

The company’s operations in Tulsa, Okla., and Juarez, Mexico, along with its Allen Park, Mich., headquarters were not included in the announcement.

As the sale has not yet been completed, for now it’s business as usual at Zeledyne.

“There’s no immediate impact,” said Dipietro.

Central Glass owns Central Saint-Gobain Ltd., Japan Tempered and Laminated Glass and Carlex Glass Co., among several other subsidiaries. The Nashville facility would be Central Glass’s second in Tennesee, as Carlex is based in Vonore, Tenn.—just under 200 miles away from Nashville.

Likewise, Carlex, which manufactures OE windshields, sidelites, backlites and sunroofs, shares similar roots with Zeledyne. Carlex was originally founded as a joint venture between Central Glass and the Ford Glass Division, before Central Glass gained 100 percent ownership, according to information from Carlex. Similarly, Zeledyne was formed in 2008 and purchased Ford’s Automotive Components Holdings (ACH) glass business, along with its Nashville and Tulsa plants, its Vidriocar subsidiary in Juarez, a warehouse in Lebanon, Tenn., and the Allen Park offices.

Central Glass officials declined to comment, deferring all media inquiries to Dipietro.

JN Phillips Launches GreenShieldSM Windshield Recycling Program
JN Phillips Auto Glass has launched a program by which company officials say it will recycle 100 percent of the windshields it replaces. Through the program, which the company is calling “GreenShield,” the Woburn, Mass.-based chain collects all of the used windshields from its multiple locations at a central facility. The windshields are then bulk-shipped to a recycling facility in the Midwest that has developed a process for pulverizing laminated auto glass and separating the glass from the PVB.

Upon final processing, the PVB plastic will be able to be used in various industrial adhesive applications and the processed glass material-often called “glass cullet”—will be available for use in numerous applications.

“GreenShield is our commitment to the environment. And while it requires some extra effort and care, we believe it’s worth the investment,” says JN Phillips president Bob Rosenfield. “Customers have been asking about windshield recycling for some time and we are very pleased to be able to offer a solution. It’s the right thing to do for the environment and our business. We are pleased by the initial reception from the insurance industry and look forward to working with others in the windshield replacement process to help keep as much glass and plastic as possible out of landfills.”

The company began researching the process two years ago and, based on its average annual replacement volume, anticipates the GreenShield program will save approximately five million pounds of glass and plastic from landfills each year.

Glass Doctor Parent Dwyer Group Inc. to be Acquired by TZP Capital Partners
The Dwyer Group Inc., the Waco, Texas-based parent company of the Glass Doctor franchisor, has entered into a definitive agreement to be acquired by an investor group led by TZP Capital Partners I L.P., a private equity fund based in New York. At press time, the $150 million deal was expected to close by the end of this year, according to Dwyer.

Mark Dawson, president of the Glass Doctor, told AGRR magazine that the new partnership will allow the Glass Doctor franchise to expand further in the United States and Canada and hinted at further expansion opportunities for the Dwyer Group as a whole.

“This will allow us to look at other businesses [in the home services segment] that complement us,” says Dawson, adding that TZP was an attractive partner as it has a great deal of experience with franchises.

“They bring a lot of expertise to our company and have a lot of experience in franchising,” he says. “Anytime you bring in a private equity company they bring in a lot of expertise.”

Dawson adds that he expects a smooth transition.

“The good thing about TZP is they are committed to keeping key management in place,” he says. “I will remain as president of Glass Doctor. We see no changes personnel-wise—if anything we see it growing. We’re very excited about it.”

Service AutoGlass Employee Ejected from Vehicle
A 27-year-old delivery person for the Service AutoGlass distribution facility in Aurora, Colo., was ejected from a company vehicle during a collision in October, according to the Colorado State Patrol.

Trooper Nate Reid advised AGRR magazine that Edward Humphrey of Arvada, Colo., was traveling northbound on I-25 near Loveland, Colo., on October 19 when traffic slowed for a work zone. According to Reid, Humphrey’s vehicle then rear-ended a Honda traveling in front of his vehicle, which forced the Honda into a third vehicle, a tractor-trailer.

“It created an accordion effect,” said Reid. “[Humphrey’s vehicle] continued northbound into the median and came to rest against a cable.”

Reid advised Humphrey was not wearing his seatbelt and was ejected from the 2006 Mitsubishi FE85D. According to the police report, Humphrey was ejected from the vehicle and “trapped under [his vehicle].” Humphrey was charged with “careless driving [that] caused bodily injury.”

While Reid did not have further details available about how Humphrey was ejected, a representative of the tow company that removed the vehicle from the accident scene says the windshield had separated from the vehicle in one piece when it was recovered.

“It had the rubber seal around it, but the glass was completely out,” said a representative of Johnson’s Corner Service Center who identified himself as Tanner but declined to provide his last name. The Loveland, Colo.-based company towed the vehicle from the October 19 accident.

He added, “I think [the accident victim] pushed the whole windshield out. We picked it up as a solid piece of glass.”

The vehicle Humphrey was driving is owned by Elite Auto Glass, a Safelite company, according to the official police report. Humphrey was taken to the Medical Center of the Rockies with serious injuries, and, according to Safelite spokesperson Melina Metzger, he has since been released.

Auto Glass Manufacturer Fined $50,000 for OSHA Violation, Injured Worker, at Ontario Plant
Pilkington Glass of Canada Ltd. in Toronto was fined $50,000 in November 2010 for a March 2009 incident that violated the Occupational Health and Safety Act and injured a worker, according to information from the Ontario Ministry of Labor (OML).

According to the OML, a worker was inspecting windshields on a conveyor belt at the company’s manufacturing plant in Collingwood, Ontario, on March 23, 2009, when he dropped a roll of stickers under the conveyor belt and reached to pick them up.

“The worker’s hand was caught and injured between parts of the conveyor and a damaged guard,” writes the OML.

An OML investigation following the incident found that the guard was damaged and did not prevent access to the moving parts of the conveyor, according to the recently released report, and Pilkington of Canada pleaded guilty “to failing to replace or repair the damaged guard.”

At press time, company officials had not responded to requests for comment.

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