Premium Guard announced on June 17 that they had completed phase 2 of the acquisition of Fram and other brands from First Brands. The statement said that they were going to merge the the Albion Illinois and the Greeneville OH facilities and keep around 300 jobs. They also leased a 730,000 square foot distribution center and equipment in Hebron Kentucky from FB. The center will be PGI's fifth distribution center in the US. You can read the full press release here. https://www.prnewswire.com/news-rel...ion-and-workforce-capabilities-302803471.html
Premium Guard Phase 2
- Thread starter motorguy222
- Start date
Well, looks like some have gotten their wish for PGI to buy up Fram. Let see if that translates into the orange can of death becoming basically a PGI filter inside now.
Bud_One
Site Donor 2025
Glad to hear that Fram is going to carry on .
Looking forward to the Fram discussions that will ensue with the new owners.
Looking forward to the Fram discussions that will ensue with the new owners.
I’m really curious how this plays out. Do they just keeps selling the same basic filter in different livery? Worse outcomes are possible.
If Fram does become a PGI internally I don't really see that as bad. PGI has so far been shown to make and or supply quality filters and the idea of being able to do so here in the US seems like a win win to me.
This is awesome news! If the press release from PGI is honest, and I have no doubt it is. This is how you do business! There is something seriously insane with the previous management who seemed to enjoy putting people out of work at the sake of more profit. I've said it before, it's just like the Gordon Gecko character in the movie Wall Street. Where greed is good. You would want to keep your most experienced manufacturing people employed to make a better product, at least this way they'll be vetted to the higher quality PGI set of standards, not what they were previously cranking out. And to re-invest in your business is also what you should do to grow a business! I know, I know, I'm talking common sense here!
For PGI to bring domestic production back online in the US is also very smart, it allows for supply chain security, when there's so much disruption lately. And we all know the quality of PGI filters, have been cutting open their oil filters for awhile now on this forum. Plus looks like their air filters aren't bad either. PGI is going to have a lot of new business!
thanks @motorguy222 for posting this, two thumbs up!!
They'll basically have the market & more customers will follow (re-branding). I would seriously doubt they'd keep doing the Fram internal filters. I mean they know how to make a good filter so they won't mess with that. They do want the capacity & brand name for sure though! Everyone knows the brand name & they got it for a good price. I can't wait to start seeing them on the shelves & perhaps that'll be this year still.
Most likely will fire up the old Fram plants and make the same stuff and phase in their designs in the premium branding..
Big brand identity and void needs to be filled / met asap to pay for the acquisition.
It is business first.
Big brand identity and void needs to be filled / met asap to pay for the acquisition.
It is business first.
They may do so, but the lower the sales price, the lower the margin, given the same COGS.
Maybe not. Considering the low price they paid to get the brands that were in the purchase, they should do quite well. If they can get Fram filters back on the market and back in Walmart they should be able to make the purchase price back easily.
4wd
$50 site donor 2026
It was not much money - looked like fire sale deal …
Considering the good quality of their off shore filters its hard to believe they would cheapen the product.
CleanSump
Site Donor 2026
They already have tooling to make specific designs, so it would make $$ sense to continue to do so only changing things such as media and glues. They will sell whether they call them "the friend you relied upon is back" or "new and improved" in the adds.
It will likely be in name (brand) only. The FRAM name, contrary to opinions here, is extremely valuable and well-known.
News from Greenville OH is that they have moved equipment from that plant and taken it to the IL plant. Who knows which equipment it is though.
I agree. If they bought all the tooling highly unlikely they switch to the PGI design. At least initially.
Over the long term they will most likely merge the two designs to whatever they can make cheapest, much like First Brands did.
I remain optimistic but skeptical. Trust but verify as the saying goes.
Exactly. I bet most of the buying public outside this forum have no clue who PGI is. Or care.
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