FORT SMITH, Ark.-Treadco Inc. has entered the Los Angeles market with the purchase of the assets of Five Brothers Inc., a commercial dealership and retreader based in Walnut, Calif. Terms of the transaction, which was concluded on or about July 15, were not disclosed. According to a Treadco spokesman, most of Five Brothers' top management, as well as its sales force, will remain in place.
Five Brothers had commercial outlets in Walnut and Ontario, Calif. The Walnut location also included a Bandag Inc. retread plant, which Treadco will convert to Oliver Rubber Co.'s process, the spokesman said.
While Treadco has had a sales office for some time in Fontana, Calif., the Five Brothers acquisition gives the company its first retread production facility in the Los Angeles market.
``Through this acquisition, Treadco will not only be able to continue to provide first class services to Five Brothers' customers, but will improve its ability to serve Treadco's existing customers in the Los Angeles area,'' said John R. Meyers, president and CEO of Treadco.
In 1994, the most recent year for which TIRE BUSINESS has data, Five Brothers produced an average of 242 medium truck retreads daily, along with a small number of light truck retreads. Total sales for the year were about $17 million.
The purchase gives publicly held Treadco, the nation's largest independent retreader, a total of 29 retread plants and 53 commercial outlets. The company, based in Fort Smith, reported 1995 sales of $147.9 million.