KC Jones Plating

Situation

KC Jones Plating performs plating, brazing, and sealant applications primarily for automotive OEM’s and Tier 1 suppliers. With operations in Michigan and Indiana, the Company had sustained revenue and margin erosion, operating losses and working capital depletion, straining its relationship with its bank.

Solution

Amherst was retained by KC Jones and assisted in implementing improvements to revenues, cost structure, trade terms, and asset turns. Amherst assisted in renegotiating part pricing with the Company’s largest OEM customer. Simultaneously, the firm assisted in forecasting and managing cash and line of credit availability.

Results

Based on the Amherst engagement, the Company’s bank provided time to execute the firm’s plan. KC Jones returned to profitability, positive cash flow, and positive working capital.