Rohr in merger talks

September 12, 1997


Staff Writer

Rohr Inc., which operates a 193-employee plant north of Hagerstown, said Thursday that it is in discussions that could lead to a merger for the aircraft-parts manufacturer.

But a company official said talks are in their early stages and it is not clear how the merger would affect the local operation.

"It's too early to say if it is going to result in a consolidation" of jobs, said Ken Scholz, treasurer for the Chula Vista, Calif.,-based company.


Scholz said Rohr made the announcement of the merger talks with an unnamed company after speculation was causing volatility in the company's stock prices.

"We felt like we needed to get some facts out on the marketplace," he said.

Rohr designs, integrates, manufactures, sells and supports aircraft engine casings and components for large commercial aircraft. In December 1992, Rohr officials announced they might close the Hagerstown plant to consolidate costs because the industry had taken a downturn.

Later they tried to sell the Showalter Road plant with plans to move Hagerstown's composite bonding operations to Riverside, Calif.

But last year Rohr received a $2 million loan from the state as part of a $5 million plan to purchase new equipment and make renovations to the Hagerstown plant, and to add jobs. The same year it reported sales of $771 million.

Scholz said the discussions about the possible merger are preliminary and could result in no deal. If an agreement is reached, a merger would be subject to the approval of the shareholders of both companies.

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