W. P. Carey Completes $42M Sale & Leaseback with German Engine Block Manufacturer G+S
NEW YORK, NY, March 6, 2007 - W. P. Carey International LLC, an affiliate of investment firm W. P. Carey & Co. LLC (NYSE: WPC), announced today that it has provided approximately $42 million in long-term financing through the sale & leaseback of three manufacturing facilities owned by Görtz+Schiele (“G+S”), a leading independent manufacturer of precision-machined engine blocks in Germany, the United States, and Mexico. The portfolio comprises G+S’s global headquarters in St. Ingbert, Germany, as well as their entire U.S. production capacity.
G+S predominantly supplies Global Automotive Manufacturers with finished engine blocks and cylinder heads, as well as high volume pre-machined heads and blocks. It also supplies some of Germany and the United States’ largest construction companies with the massive engine blocks needed for their industrial vehicles and other powertrain parts.
“Our transaction with W. P. Carey is enabling G+S to invigorate our balance sheet and re-focus our energies on growth and profitability,” said G+S CFO, Wolfgang Speck. “Working with W. P. Carey has been a very positive experience for G+S.”
Edward V. LaPuma, President of W. P. Carey International LLC, said, “This sale-leaseback with G+S highlights our desire to provide long-term financing to auto suppliers and other industrial companies throughout Germany.”
Görtz+Schiele
Görtz+Schiele has been a worldwide partner to the automotive industry for over thirty years, specializing in the production of precision-machined engine blocks and related powertrain components for premium automobiles. Headquartered in St. Ingbert, Germany, G+S delivers the high quality zero-defect engine cores used in BMWs, Mercedes, Porsches, Bentleys and other reputable automobiles.
W. P. CAREY & CO. LLC
Founded in 1973, W. P. Carey & Co. LLC is a leading global real estate investment firm. The Company provides asset management services to its CPA® series of income generating real estate funds. With over $5 billion in equity capital, the W. P. Carey Group is one of the largest providers of net lease financing for corporations worldwide. The Group owns more than 800 commercial and industrial properties in 13 countries, representing over 97 million square feet, valued at approximately $8.5 billion. www.wpcarey.com
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This press release contains forward-looking statements within the meaning of the Federal securities laws. A number of factors could cause the company’s actual results, performance or achievement to differ materially from those anticipated. Among those risks, trends and uncertainties are the general economic climate; the supply of and demand for office and industrial properties; interest rate levels; the availability of financing; and other risks associated with the acquisition and ownership of properties, including risks that the tenants will not pay rent, or that costs may be greater than anticipated. For further information on factors that could impact the company, reference is made to the company’s filings with the Securities and Exchange Commission.
