Thomas McKown Named to Head NN Asia

NN Inc. (USA) has named Thomas McKown as Managing Director - NN Asia. The new position illustrates both NN's strong growth trajectory and the acknowledged importance for global manufacturers to have a key executive "on the ground" in China. The move is also evidence of NN's gathering momentum toward establishing a physical manufacturing presence in China; NN Asia's headquarters is in Shanghai. NN is a key manufacturer of high precision bearing components -- balls, rollers, seals and retainers -- for bearing manufacturers worldwide. Sales were USD $193 million in 2002. Launched in early 2000, NN Asia's mission was as a marketing company charged with growing sales in the region. It was put in place to support NN's first and then-new Chinese joint venture with General Bearing, Jiangsu General Ball & Roller Company. Jiangsu is China's largest manufacturer of precision steel balls; NN and General were equal partners in a joint venture controlling 60% of Jiangsu. In late 2001, NN sold its interest in the venture General Bearing for $3.9 million. Although the sale ended NN's direct involvement in China at the time, President and CEO Rock Baty said, "We concluded that our 30% minority ownership limited our ability to achieve the financial returns we had originally projected. For that reason, we pursued with General Bearing the sale of NN's interest in Jiangsu General Ball & Roller." But because Asia is such an important market, he said, "This enables us to recoup our initial investment in the venture and investigate alternative strategies for an Asian manufacturing presence." Since that time, NN has grown substantially and internationally, both in response to and in anticipation of its customers' and the bearing industry's overall shift in that direction. Reinvigorating NN Asia supports its stated, "strategy to globally expand our manufacturing base." About Mr. McKown's appointment, Mr. Baty said, "Tom will have management responsibility for the execution of a business strategy that will incorporate an integrated sales, marketing and manufacturing plan designed to serve our bearing customers in Asia." The move also reflects the importance that the Asian-market executive have experience with its unique manufacturing and logistics opportunities and challenges. Prior to joining NN, Mr. McKown most recently served as Managing Director - China, of Camfil Farr AB. His 10 years of Asian experience include business management assignments throughout Taiwan, Malaysia, Hong Kong, and China.