Date: Thu, 20 Nov 1997 21:27:45 GMT Server: Apache/1.2b8 Last-Modified: Sat, 21 Jun 1997 00:01:57 GMT ETag: "26b26-1d0a-33ab19f5" Content-Length: 7434 Accept-Ranges: bytes Connection: close Content-Type: text/html
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![]() | Wynn Oil Company | Wynn's-Precision, Inc. | ![]() Wynn Oil Company Wynn Oil manufactures and markets specialty chemicals and equipment for a wide range of uses. Customers include (1) automotive repair centers and fleets for professionally installed chemicals and equipment, (2) manufacturing facilities, mines and farms for industrial lubricants, coolants and cleaners, (3) purchasers of previously-owned vehicles from automotive dealerships for product warranty kits, and (4) consumers for do-it-yourself and household products. These various products and service programs are sold in over 100 countries around the world by 14 affiliated companies and an international network of independent distributors and representatives. Wynn Oil's mission is to be the problem-solver of choice in all markets served, by providing the best service, quality, technology and value. 1996 PERFORMANCEIn 1996, Wynn Oil recorded its third consecutive record year of financial results. Revenues reached $148 million, representing 12% growth over 1995, despite changes in foreign exchange rates which negatively impacted the dollar value of revenues in some key countries. Operating profits improved significantly due to higher revenues, strict cost-controls and productivity improvement measures. To increase efficiency, we strengthened our production capabilities and emphasized continuous quality improvement systems. Revenues from the Americas marketing area increased 24% in 1996 led by the United States and Canada. The Product Warranty Kit sales programs in car dealerships continued to grow at a rapid pace in North America, due to significant expansion of national account business combined with improvements in traditionally generated business. Sales of professional chemical service equipment improved by 15% in 1996, with the introduction of the new TranServe(tm) Automatic Transmission Flush machine service, and continued impressive sales of the Du-All® antifreeze flush, fill and recycle system. Equipment-related service programs also were introduced in Latin American markets. Revenues in the Europe/Africa/Middle East marketing area in 1996 were essentially level with the prior year, partly due to the effect of the strengthening dollar and partly due to an off year in our French automotive segments. Except for the French automotive segments, our European business units recorded improved operational results in local currencies compared to the prior year, although the strong dollar generally dampened the impact of these improvements. By increasing its market share, the French industrial business continued to achieve growth in revenues and profitability despite a weak economy. The Belgium operation made a number of important changes in its sales management team and added a number of new distributors in key markets. The rapid decline in the of the South African rand compared to the U.S. dollar overshadowed good revenue gains in local currency, but profits remained strong due to excellent management in a difficult business climate. Revenues in the Asia/Pacific marketing area increased 15%. Hyundai purchased a large number of Du-All machines and recycling chemicals under a private label program. Our Australian operation continued to be a strong contributor to improved earnings. PRODUCTSIn 1996, Wynn Oil continued to focus on the development of new products and the obtaining of related OEM approvals. New specialty chemicals for flushing transmissions and treating transmission fluids were developed in tandem with the TranServe Automatic Transmission Flush machine. OEM approval was obtained from Chrysler for the TranServe machine. Hyundai joined General Motors, Chrysler and many major repair and maintenance automotive chains and service equipment providers in approving the patented Du-All system. During the year, we placed a special emphasis on the development of a number of new fuel treatment products for overseas markets. We developed and introduced in Europe the Remote Control Purger as a more convenient and reliable means for service technicians to clean gasoline and diesel fuel systems. In 1996, we accelerated the pace of industrial product development in synthetic and semi-synthetic metalworking lubricants and coolants, solvents, greases, and alkaline cleaners, building on the advanced technology of Wynn's France Industrie. OUTLOOK FOR 1997We have aggressive internal growth targets for 1997, despite the expectation of continued strengthening of the dollar against key overseas currencies. Our strategy, which emphasizes cost-efficient, high quality, superior technology programs and products, coupled with outstanding service to the end-user, is working and will be continued. We have a strong management team in place with the energy and talent to deliver our goal of a fourth consecutive record year for Wynn Oil.
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