KTI, Oakhurst form venture GUTTENBERG, N.J.—KTI Inc. is forming a cooperative venture with Oakhurst Co. Inc. to develop tire processing and recycling businesses.
The venture involved KTI acquiring 1.73 million Oakhurst shares, a 35-percent stake in the business, for $865,000. KTI also entered into a secured loan agreement to lend Oakhurst up to $17 million.
The agreement includes KTI licensing proprietary cryogenic crumb rubber technology to Oakhurst Technology Inc., a wholly owned subsidiary of Oakhurst Co., and provides for the purchase of crumb rubber systems.
Oakhurst Technology will develop an environmental facility at Ford Heights, Ill., along with other tire recycling and related businesses.
A KTI subsidiary will operate the facility, called New Heights Recovery and Power L.L.C.
KTI is a solid waste management firm operating 51 facilities in 21 states and Canada. Oakhurst owns two automotive parts distributors.
Pa. awards scrap grants to counties
HARRISBURG, Pa.—The state of Pennsylvania awarded six grants totaling $800,000 for industrial market development projects using scrap tires.
The grants, given through the Department of Environmental Protection, will fund six counties. The agency awards grants of up to $200,000 for any one project.
The counties include Clearfield, Cumberland, Fayette, Indiana, Luzerne and Somerset.
RB Rubber Products reports results
McMINNVILLE, Ore.—RB Rubber Products Inc.'s lost $40,930 in the fourth quarter of 1998, compared with net income of $135,385 for the year-earlier period.
The firm attributed the loss to a one-time charge of $396,000 for the acquisition of Iowa Mat. Net income for the quarter would have increased 63 percent to $220,000 without the purchase.
Sales for the quarter rose 23 percent to a record $2.71 million.
The integrated tire recycler and rubber mat-maker reported a net loss of $85,168 for the year, compared with income of $528,143 in 1997.
RB Rubber's year-end sales increased 15 percent from 1997 to $8.59 million.