TALLAPOOSA, Ga. (Dec. 7, 2004) — Associated Rubber Co. has agreed to sell certain assets related to its tread rubber business to Industrias de hule Galgo of Mexico, the company said.
The deal includes Associated's precure press and ancillary processing equipment in Calhoun, Ga. Associated Rubber still owns the plant in Calhoun and continues other operations there, but the sale included some equipment and tooling that had been at the plant, a spokesman said. Associated Rubber said it will continue all other operations excluding tread rubber sales.
Terms of the deal were not disclosed.
Galgo announced it would move the purchased equipment to its production facility near Mexico City, where the company produces Pre-Q treads and other tread-related products. Galgo's U.S. distribution company is Pre-Q Rubber Ltd., which operates from a 60,000-sq.-ft. distribution center in Dallas.
Galgo said Associated Rubber had been the initial U.S. distributor for Pre-Q treads from 1989 to 1998. Pre-Q Rubber began direct distribution about six years ago.