Kinetek Acquires 80% Interest in Joint Venture with De Sheng

Deerfield, IL - Kinetek and De Sheng today announced the formation of the joint venture as previously disclosed. Kinetek has acquired an 80% equity position in the joint venture with an option to purchase the remaining 20% in the future. The new joint venture was formed to purchase 100% of the net assets of De Sheng Electric Motor Company, Ltd

Kinetek is a leading manufacturer of electric motors, gearmotors, transaxles, mechanical drives, and motion control systems serving a wide variety of niche industries. Kinetek markets its products under well known brands within their industries and include such names as Advanced DC, Imperial Electric, FIR, Merkle-Korff Industries, Motion Control Engineering, and Electrical Design & Control. Kinetek is primarily an original equipment manufacturer with a concentration in such niche industries as elevators, battery electric vehicles, commercial floor care, material handling, appliances, and vending.

De Sheng, located in Shunde, is a leading motor manufacturer in the Guangdong province of China serving a variety of niche industries including elevators, hoist motors, air conditioning and fan applications, metallurgical applications, and other general purpose industrial applications. De Sheng operates from one location with modern facilities, which includes 650,000 square feet of office and production related space.

Kinetek President and CEO Ron Sansom comments: "De Sheng's broad product offerings, excellent quality, and engineering capability represent an outstanding strategic fit for Kinetek. Combining the application engineering and technical capability of Kinetek with the capabilities and competitive cost position of De Sheng will make this venture a powerful combination. Our goal is to continue our emphasis on providing customized system solutions for our customers by employing the most effective technologies and using the global market place to ensure cost efficient solutions."

De Sheng Chairman Jian-Xiong Xie commented that it was time for De Sheng to find a partner to continue its growth and participate in the global economy.

Kinetek is owned and managed by parent company Jordan Industries, Inc. Jordan Industries, Inc., with total revenues of nearly $1.0B, participates in markets as diverse as motors and motion control systems, automotive products, specialty plastics, specialty printing and labeling, and point of purchase and specialty advertising. Jordan Industries also has another investment in Shunde through its Sate-Lite operating subsidiary.

For more information contact Norm Bates at Kinetek, Inc., at (847) 267-4431 or e-mail to nbates@jordanind.com and visit http://www.kinetekinc.com/.



			Kinetek Acquires 80% Interest in Joint Venture with De Sheng

May 1, 2002			Deerfield, IL - Kinetek and De Sheng today announced the formation of the joint venture as previously disclosed. Kinetek has acquired an 80% equity position in the joint venture with an option to purchase the remaining 20% in the future. The new joint venture was formed to purchase 100% of the net assets of De Sheng Electric Motor Company, Ltd Kinetek is a leading manufacturer of electric motors, gearmotors, transaxles, mechanical drives, and motion control systems serving a wide variety of niche industries. Kinetek markets its products under well known brands within their industries and include such names as Advanced DC, Imperial Electric, FIR, Merkle-Korff Industries, Motion Control Engineering, and Electrical Design & Control. Kinetek is primarily an original equipment manufacturer with a concentration in such niche industries as elevators, battery electric vehicles, commercial floor care, material handling, appliances, and vending. De Sheng, located in Shunde, is a leading motor manufacturer in the Guangdong province of China serving a variety of niche industries including elevators, hoist motors, air conditioning and fan applications, metallurgical applications, and other general purpose industrial applications. De Sheng operates from one location with modern facilities, which includes 650,000 square feet of office and production related space. Kinetek President and CEO Ron Sansom comments: "De Sheng's broad product offerings, excellent quality, and engineering capability represent an outstanding strategic fit for Kinetek. Combining the application engineering and technical capability of Kinetek with the capabilities and competitive cost position of De Sheng will make this venture a powerful combination. Our goal is to continue our emphasis on providing customized system solutions for our customers by employing the most effective technologies and using the global market place to ensure cost efficient solutions." De Sheng Chairman Jian-Xiong Xie commented that it was time for De Sheng to find a partner to continue its growth and participate in the global economy. Kinetek is owned and managed by parent company Jordan Industries, Inc. Jordan Industries, Inc., with total revenues of nearly $1.0B, participates in markets as diverse as motors and motion control systems, automotive products, specialty plastics, specialty printing and labeling, and point of purchase and specialty advertising. Jordan Industries also has another investment in Shunde through its Sate-Lite operating subsidiary. For more information contact Norm Bates at Kinetek, Inc., at (847) 267-4431 or e-mail to nbates@jordanind.com and visit http://www.kinetekinc.com/.