Thermoplastic-Wood Composites for Seat-Back Panels

CHESTERFIELD, Mich., Oct. 7 - Savvy outsourcing in the automotive industry breeds innovation, both in products and supplier relationships. If you need proof, just ask the people at Chesterfield, Michigan-based G&L Universal, LLC. They're producing seat-back panels for the model-year 2000 Cadillac DeVille, using an advanced technology and a new, "environmentally friendly" material -- Thermal Plastic Composite (TPC).

The panels are the first such automotive components for the North American automotive market based on TPC, a special blend of polypropylene plastic and recycled wood fiber. Compared with traditional seat-back panels, the TPC- based products from G&L Universal offer many advantages -- in cost, ease of assembly, durability, aesthetics, performance and "serviceability."

G&L Universal, LLC, itself, is a product of an innovative trend in automotive outsourcing. It's a minority-owned business -- the kind of operation major automakers and tier-one suppliers are actively seeking out as sources of materials, components and services.

The company, created in 1998, is a joint venture between some long- established players in North America's automotive industry. Its majority owner is Don Cunningham, principal owner of Universal Trim, a Madison Heights, Michigan-based supplier of vehicle trim products. His partner in the venture is G&L Industries, Inc., of Chesterfield, Michigan, a supplier of wood products for automotive applications. G&L Industries is a wholly owned subsidiary of Talon Automotive Group LLC, based in Troy, Michigan.

"Our new company reflects the great value of minority business development," said Cunningham. "It's a winning proposition all the way around, as we create jobs and opportunities and -- at the same time -- deliver innovative products to our customers."

G&L Universal manufactures the seat-back panels for Bridgewater Interiors, LLC, which also is minority-owned. Located in Detroit's Empowerment Zone, Bridgewater has a $900 million contract to supply complete seat systems for the all-new Cadillac DeVille. The deal represents one of the largest supply contracts ever awarded to a minority firm. Bridgewater is a joint-venture operation of vehicle interior supplier Johnson Controls (NYSE:JCI) and Epsilon, LLC -- a Detroit-based business group.

In recent years, General Motors, Johnson Controls and other major automotive companies have instituted corporate programs to support minority- owned businesses, and to increase purchasing from such sources throughout the "chain of supply." The Bridgewater Interiors contract with G&L Universal is one of the largest tier-two supply contracts emerging out of GM's outsourcing arrangement with Bridgewater.

"We're pleased to support the G&L Universal venture, and look forward to having a long and mutually beneficial relationship with the company," said Larry Alles, vice president and general manager of purchasing-worldwide for Johnson Controls. "Throughout our entire supplier network, we place a high value on talent, technology and the ability to deliver outstanding products."

Using TPC technology to manufacture seat-back panels is a major step forward, according to G&L Universal officials. Traditional molding and gluing methods typically require five or more steps to yield a finished product. By comparison, G&L Universal's employees are producing assembly-ready, vinyl- covered panels -- with integrated fasteners -- in just one production step.

Seat-back panels for the Cadillac DeVille are produced in a variety of colors -- and all feature map pockets. "Up-level" panels for the vehicle include a "wood applique" trim treatment.

The completely redesigned Cadillac DeVille for model-year 2000 became available in dealer showrooms this fall. Cadillac has been the best-selling luxury vehicle in the United States for the past 14 years.