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CD
August1996
NSM
WILLIAMS
TO SHUTDOWN
TO REDUCE
U.S. AssEMBLY
PINBALL
FACILITY
OPERATIONS
In a cost-cutting move, German
jukebox manufacturer NSM has
announced that it will shut down
its only United States plant, lo-
cated in Gastonia, N. C, at the end
of July. The U.S. manufacturing
facility opened in May 1995.
WMS Industries, Inc., an-
nounced at the end of June that
its board of directors had ap-
proved a restructuring designed
primarily to reduce regulatory
"burdens and risks," enhance
shareholder value by enabling
investors to value three distinct
areas of the company's opera-
tions and reduce pinball-opera-
tions expenses.
According to NSM officials, all
manufacturing will now be done
at corporate headquarters in
Bingen, Germany.
The plant closing will not affect
the parent company's NSM
America operations. Based in
Bensenville, IL, NSM America
provides domestic sales and ser-
vice for the American market.
Co1N-OP
MFG' s SKINNY UP
Tuesday, July 9, Gottlieb offi-
cially closed its doors and is out
of business. Premier was unable
to find a suitor for its pinball lines
and/ or parts business. Another
great old name bites the dust.
Data East is closing down its US
operation. Also, Williams laid off
half their design staff. They are
in the process of downsizing their
pinball division. See related article
next page.
In light of the "softness of the
worldwide coin-operated pinball
machine market," the directors'
authorization of immediate cost
reductions in that area is "in-
tended to reduce the impact this
business has on WMS' opera-
tions while enabling the com-
pany to redirect financial and
personnel resources to its grow-
ing casino gaming-device busi-
ness," the spokesman said.
If all the proposals are com-
pleted, WMS would be divided
into three publically traded enti-
ties: Hotel/casino management
corp. in Puerto Rico; Design,
manufacture, market and distrib-
ute coin-op arcade videogames
and home video games; Design,
manufacture, market and distrib-
ute casino gaming devices, video
lottery terminals and coin-op pin-
ball games.