12/22/2008 14h46

Mangels plans becoming global

Valor Econômico - 12/22/2008

Amid the celebration of the 80th anniversary of its foundation, Mangels plans a series of changes for the next years. The first one of the list will be beginning the internationalization project, which aims at making it a global supplier of aluminum wheels for cars. Another matter under internal discussion is the preparation of the succession of the third generation of the Mangels family in the command of the company. Besides, the company has just opened a steel service center in Manaus. The pace of the projects, however, may be changed, since there is already the forecast that in 2009 the impacts of the world financial crisis in its markets can lead to falls of up to 30% in its sales in the first quarter, according to the area of operation. The internationalization project has been getting stronger, according to Robert Max Mangels, CEO of the company, as a result of the frequent contact made by clients in order for the supply of steel wheels not to take place only in Latin America. So far, one of the most feasible possibilities is the setting up of a development center in Japan, where the decisions of the Japanese makers are taken. The executive does not rule out an initiative in the American market. Mangels resumed its investments in 2004. In Magels' opinion, the investments of the four last years resulted, among other things, in the unit opened last Wednesday in Manaus (AM). The steel service center set in the motorcycle production zone, in order to serve Honda mainly, which has been a client o0f the company for more than 30 years, received funds of nearly R$ 18 million (US$ 7.83 million). Mangels is also considering selling to Honda's suppliers, some of which are already clients of the company in São Bernardo do Campo, in the São Paulo Metropolitan Region. Besides, the company has set its eyes on the manufacturers of electric and electronic devices of the region, which also consume the metal. The forecast for 2008 is of a net income of R$ 700 million (US$ 304.3 million), a 10% increase over last year's result. From that total, most comes from the steel business, which represented 45.6% of the results in the third quarter. Next, there is the division of aluminum wheels, with 33.2%, followed by the divisions of residential LPG tanks (15.5%) and galvanized steels (5.7%). In relation to the investments, the group planned nearly R$ 50 million (US$ 21.7 million) for 2009. This year, the amount invested reached R$ 80 million (US$ 34.8 million), an increase of 33% over 2007.