Hitchiner first established itself in Mexico in 1987 with the construction of a new 95,000 square foot facility to recapture business lost to foreign investment casters, and to prevent the further erosion of its market share. The existing facility was expanded and two additional plants were constructed, increasing the overall site to over 250,000 square feet by 1999. Research began in June 2000 to select a location for the new plant to support a new rocker arm program. Parts will be manufactured at Hitchiner's current facility in Santiago Tianquistenco, transported to the new plant for finishing and assembly, and then delivered to the automotive manufacturer in Mexico. Major factors in choosing a site were its central location, available transportation and industrial infrastructure, as well as government incentives and future expansion capability.

Richard Sharkey, Vice President of Ferrous Operations - Mexico, "We didn't want to continue expanding our current facility, instead we wanted a foot-hold somewhere else that would provide land for future expansion. Also, by leasing the land, we don't have to invest capital now and we still have the option to purchase in the future."

In the city of San Luis Potosí, the company is leasing 14 acres of undeveloped land within a well-established industrial park called Tres Naciones. Construction is already in progress for the new 42,400 square foot finishing plant that will be dedicated to the new rocker arm program. The new facility will have 35,800 square feet of production area. An additional two-story 6,600 square foot building will be used for administrative offices, conference rooms, training and medical areas, as well as a cafeteria and locker rooms. Equipment is scheduled to start arriving by March 15, and utilities are scheduled to be ready by April 1, 2000. A final completion date is set for May 2001. The new plant will be called Hitchiner Manufacturing Company de Mexico S. de R.L. de C.V.

The new rocker arm program is the next step in Hitchiner's continued transition from a foundry that supplied raw castings to a full-service manufacturer. In the past decade, Hitchiner has expanded its value-added machining capability to include golf club finishing in both the United States and Mexico, and polished and machined components for the medical industry. The new facility at San Luis Potosí, Mexico will bring Hitchiner's full-service manufacturing to a new level.