Hagerstown, MD - GST AutoLeather, Inc. today announced it has entered into an exclusive relationship with automotive supplier Snezka in Nachod, Czech Republic, to provide cutting services to GST AutoLeather. The relationship is GST AutoLeather's first production investment in Europe and further expands the company's focus on being a leading global leather supplier.
Under the agreement, Snezka, an automotive supplier of primarily sewn headrests since 1994, will develop automotive leather cutting operations exclusively for GST AutoLeather. GST AutoLeather will provide equipment as well as full training to Snezka employees. Snezka will provide space and equipment, including additional space if expansion is required.
The new cutting facilities will be operational by spring or early summer. GST AutoLeather has already been awarded one program to begin production in the fall of 2004 for DaimlerChrysler, while additional discussions are underway with several other Tier One and OEM manufacturers.
"This is an important step forward for GST AutoLeather in our continued global expansion," stated Mark D. Lecher, president and chief operating officer for GST AutoLeather, Inc. "We are pleased to have found a great partner in an important part of world. We feel confident this will be an excellent operation that gives us a platform for continued international growth."
According to Lecher, to be a leader you must have a global presence that makes your firm convenient and accessible to the world automotive marketplace. "We believe the shorter the supply and logistics chain to our customers, the better. A location in the Czech Republic represents incremental business opportunities for GST and is an excellent geographic platform to challenge that segment of the global business," Lecher said.
GST AutoLeather selected Snezka because of its impressive and experienced management team and high-quality facilities, and because of the Czech Republic's solid automotive infrastructure.
"Snezka has an established reputation and ten years of automotive experience. In looking at both their quality standards and their documentation standards, we feel confident they can maintain our level of excellence in automotive leather," added Lecher. "This is a company willing to grow and invest with us to meet business needs."
Hides for the Czech cutting operation will be supplied from existing GST AutoLeather sources. The company also will continue to investigate global sourcing alternatives that can best serve their customers around the world.
About GST AutoLeather (www.gstautoleather.com)
GST AutoLeather is headquartered in Hagerstown, Maryland, and is a proud supplier of the world's finest automotive leather. The company processes nearly 100 million square feet of leather per year and holds a 15 percent global market share. GST AutoLeather has production operations in North America, Mexico, Asia and Europe. Some of the industry's most prestigious automobile companies turn to GST AutoLeather for its innovation, customer service, quality and dependability. GST AutoLeather engineers and technical experts work hand-in-hand with customers to conceive, design and develop new generations of leather for such nameplates as Toyota, Lexus, Acura, Chrysler, Ford, Honda, Isuzu, Lincoln, Mazda, Dodge, Jeep and HUMMER.