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Mike Pennington
Sep 8th, 2008, 01:22 PM
NEWS RELEASE - 3M to Acquire Meguiar's, Inc. (http://meguiarsonline.com/forums/showthread.php?t=27025)


ST. PAUL, Minn., Sep 08, 2008 (BUSINESS WIRE) -- 3M announced today it has entered into an agreement to acquire Meguiar's Inc., the 100-year-old family business that manufactures the leading Meguiar's brand of car care products for cleaning and protecting automotive surfaces. Terms of the transaction were not disclosed.

Meguiar's brings its renowned products and proud history--from its beginnings providing Mirror Glaze polishes and waxes for professional use to today's top-of-the-line products for everyone dedicated to maintaining a brilliant finish on their vehicles--to 3M's range of automotive aftermarket products. Meguiar's products include waxes, polishes, cleaners, conditioners and protectants for the automotive and marine markets.

"The addition of Meguiar's builds on our professional offering for the automotive industry and brings the expertise of Barry Meguiar in the growing enthusiast market for car care products," said Ian Hardgrove, vice president, 3M Automotive Aftermarket Division. "Together, Meguiar's and 3M will collaborate to deliver even more innovative high performance products for enthusiasts around the world."

Car enthusiasts know Meguiar's not only for its products but also for its presence at thousands of car shows across the country featuring every type of collector car from hot rods and muscle cars to exotic sports cars to vintage classics. Through Meguiar's internationally syndicated, multimedia broadcasting network, people with a passion for cars can experience major automotive events and the latest collector car hobby news.

"Combining with 3M will greatly enhance our ability to serve and support Car Crazy people on a global basis," said Barry Meguiar, president and CEO, Meguiar's Inc. "We are excited about the opportunity to grow our business by joining forces with one of the world's great global companies--working together to increase our support of the car hobby worldwide."

3M's Automotive Aftermarket Division provides a comprehensive line of 3M products for auto body repair professionals and auto enthusiasts. Products include abrasives and accessories, performance cleaning products, waxes, masking tapes, panel bonding adhesives, general adhesives coatings and sealers, paint finishing polishes and compounds, and paint application systems. Complementary acquisitions such as this support 3M's growth strategy to strengthen its core businesses and expand into adjacent markets.
Meguiar's is headquartered in Irvine, Calif., and employs approximately 115 people. The transaction is expected to be completed in the fourth quarter subject to customary closing conditions, including regulatory approvals.
Sawaya Segalas & Co., LLC acted as exclusive financial advisor to Meguiar's Inc.

About Meguiar's Inc.
For over 100 years, Meguiar's Inc. has been providing Car Crazy people with specialized state-of-the-art formulations for making the appearance of cars "show car perfect." Chosen by 20 out of 24 "Best of Class" winners at the 2008 Pebble Beach Concours d'Elegance, Meguiar's provides highly specialized products for every automotive surface, including paint, wheels, tires, and interiors. As part of its passionate support for the car hobby, Meguiar's sponsors more than 11,000 car shows globally and produces Meguiar's Car Crazy Television and Radio that represent car enthusiasts worldwide.

About 3M
A recognized leader in research and development, 3M produces thousands of innovative products for dozens of diverse markets. 3M's core strength is applying its more than 40 distinct technology platforms -- often in combination -- to a wide array of customer needs. With $24 billion in sales, 3M employs 79,000 people worldwide and has operations in more than 60 countries. For more information, visit www.3M.com (http://www.3M.com).

_________________________________________________________________

Here are a few points to take away from this announcement...

- Barry Meguiar will continue to lead the company with his PASSION and the legacy of Meguiar’s will continue with even more support for the car hobby & car enthusiast.

- We take our responsibility to the industry very seriously and want to assure you that 3M enthusiastically shares our passion and commitment to innovation, quality and service.

- Our plan moving forward is to continue to support you as we have in the past by providing the same high quality products and service you’ve come to expect.

- Together, Meguiar’s and 3M will deliver a more complete product offering to auto enthusiast, car detailing and professional markets.

- We are excited about our future and look forward to continuing to serve you.

:xyxthumbs

Mike

Ryan L.
Sep 8th, 2008, 01:26 PM
So how are things like the Saturday and Thursday night classes going to be handled? Online Forum? Still located in Irvine?

Ryan

Mike Pennington
Sep 8th, 2008, 01:28 PM
No changes....

That's the beauty

Mike

Ryan L.
Sep 8th, 2008, 01:29 PM
No changes....

That's the beauty

Mike

Now that is some GREAT news!! Sweet.

Ryan

Nappers
Sep 8th, 2008, 01:31 PM
I just hope the bean counters leave everything alone and know they have a good thing with Meguiar's!

BlueZero
Sep 8th, 2008, 01:33 PM
Thanks for the info Mike!

I really think this could be a great opportunity. I'm looking forward to what the future brings!

Chex
Sep 8th, 2008, 01:35 PM
So, is this a strategic alliance between both companies?

Mike Pennington
Sep 8th, 2008, 01:36 PM
Thanks for the info Mike!

I really think this could be a great opportunity. I'm looking forward to what the future brings!

:xyxthumbs

Mike

c5rick
Sep 8th, 2008, 01:53 PM
I just hope the bean counters leave everything alone and know they have a good thing with Meguiar's!

I worked for a small company with a wordwide presence. Four years ago one of the largest companies in the world bought us. We were told through the entire process how great this would be for us... I'm still waiting

AeroCleanse
Sep 8th, 2008, 02:06 PM
What a shame

zoomzoom mazda5
Sep 8th, 2008, 02:12 PM
Look for some price increases in the future to pay for acquiring Meguiar's. Looks like 3M is on a roll in buying out company's this yr.

Paul S
Sep 8th, 2008, 02:17 PM
Hope this merger is better then my employer USF holland getting bought up by Yrcw (Yellow Frieght)a coulpe of years ago. We went from a small friendly operation to a its all about the bottom line fiasco. We will all keep our fingers crossed for only the best to happen.

J. A. Michaels
Sep 8th, 2008, 02:25 PM
Only time will tell. I hope this is as great as it sounds. I hope we do not get lost in the corporate shuffle.

sdprius858
Sep 8th, 2008, 02:25 PM
Seen this type of thing as well. Dads company, Coast, got bought out by Corporate(Anheauser Busch) who are now getting bought by Inbev. Seems that mergers or partnerships are common nowdays.

Hemin8r
Sep 8th, 2008, 02:28 PM
I really do hope everything goes well. I'd hate to see a good thing change after so many years.

RacerX88
Sep 8th, 2008, 02:33 PM
I wish the two companies all the luck in the world. Whatever 3M paid for MEGS they got a deal! The intellectual property alone is worth Billions!

My questions:

- Is Megs to remain an independent operating entity?
- Will Megs chemists, admin/sales/support staff all join 3M?
- What of the two product lines? Currently, 3M and Megs both serve the enthusiast/consumer markets. However, looking at retail store shelves Megs seems to have slightly more presence.
- Will we get re-badged 3M product at retail?

3M is a HUGE company...isn't it going to be pretty hard to keep Megs from getting lost?

ZoranC
Sep 8th, 2008, 02:33 PM
Whoa!

kellyinkc
Sep 8th, 2008, 02:37 PM
whoa!

+1!

yalerd
Sep 8th, 2008, 02:40 PM
This could be a great thing. More heads to think about new products and research but again it can go downhill.

I hope everything goes well, and I think it will because I know Mr. Barry Meguiar won't destroy this legendary company

Jokeman
Sep 8th, 2008, 02:49 PM
Wow. Mix up the 3M chemists and the Meguiars chemists and the products they could create would be unreal. 3M makes great stuff like Extra Cut, Fast Cut(UK) and Ultrafina.

theamcguy
Sep 8th, 2008, 02:51 PM
So, is this a strategic alliance between both companies?

That's what they said when Daimler bought Chrysler and we all know how that turned. Once Chrysler the most profitable of all US car companies was reduced to also ran status is now looking to sell Viper (then Jeep, then Ram) to raise quick cash before the new owners split. I am going to say one thing nobody buys anything unless they see some money in it. When a company takes over another company changes will happen. They will not duplicate efforts. Meguiars will be around that's for sure (the brand name is worth plenty) but expect changes in product line-up (marginal products or products that directly compete with 3M will be eliminated) Meguiars will become the retail line while 3M will be the professional line-up. 3M has never made inroads at the retail level while their professional products in the body shop do quite well. Now they have a retail name brand but they will fold the professional products into the 3M line.

seth1066
Sep 8th, 2008, 02:58 PM
3M sells a huge amount of similar type product, I don't use it often, but it is pretty good stuff and has a big commercial autobody shop following. I'm guessing the integration of the two developmental departments as well as exchange of current product information is going to be very good for the entire spectrum of consumers, pro detailers and body shops.

Mike Pennington
Sep 8th, 2008, 03:04 PM
Wow. Mix up the 3M chemists and the Meguiars chemists and the products they could create would be unreal. 3M makes great stuff like Extra Cut, Fast Cut(UK) and Ultrafina.

:woot2

kellyinkc
Sep 8th, 2008, 03:16 PM
Usually, being the buyer is better than being the buyee. :confused:
I hope for the best for Meguiars.

Kelly

SjMike
Sep 8th, 2008, 03:23 PM
I have a bad feeling about this. I hope I'm wrong.

RacerX88
Sep 8th, 2008, 03:33 PM
Now that Megs has entered into an agreement official announcements and comments on the acquisition (I think) ought to be pretty quiet for the time being.

RacerX88
Sep 8th, 2008, 03:35 PM
"3M shares rose $1.60, or 2.3 percent, to $70.79 in afternoon trading."
Someone is showing some confidence in the deal.

TimG
Sep 8th, 2008, 03:39 PM
:wow1shocking news indeed. Hope everything goes well at the office. I've been through many corporate takeovers and/or SA, and had seen the good and the bad from them.

Do please keep us(esp loyalist) posted.


Tim

seth1066
Sep 8th, 2008, 03:53 PM
Just think of the money they will save on Post-Its. :chuckle1

Sydster
Sep 8th, 2008, 03:54 PM
I really do hope everything goes well. I'd hate to see a good thing change after so many years.


:iagree: I really hope it goes well.

Mike Pennington
Sep 8th, 2008, 03:56 PM
Just think of the money they will save on Post-Its. :chuckle1

:chuckle1

Mikejl
Sep 8th, 2008, 04:00 PM
I'm kind of saddened by this announcement. :(

Lydia
Sep 8th, 2008, 04:14 PM
Ugh....

DaGonz
Sep 8th, 2008, 04:28 PM
I hope things will turn out okay... :thinking1

DAC17
Sep 8th, 2008, 04:29 PM
I assume this means that Barry was at the point of his career where he was ready to sell out. I can only hope 3M leaves well enough alone. Many buyers have screwed themselves trying to "add value" to their targets....

Sal329
Sep 8th, 2008, 04:31 PM
Goin to stock up now... I can see the 3M prices in the future

Andy M.
Sep 8th, 2008, 04:38 PM
Just think of the money they will save on Post-Its. :chuckle1

And painters tape!!!!!!:woot2

Andy

seth1066
Sep 8th, 2008, 04:42 PM
Goin to stock up now... I can see the 3M prices in the futureWell, I can't think of any two products that are as widely used in the professional end of the business, might be a slight monopoly. Haven't bought any in years, are comparable 3M products that much more?

lariat
Sep 8th, 2008, 05:08 PM
So sad, end of an era!!

SHYNEMAN123
Sep 8th, 2008, 05:18 PM
Well now I don't have to feel guilty about using 3M compounds for the past 28 years and finishing up with Meguiar's.
I think It was a great move to combine the R&D of two great company's they will be unbeatable.

Larry A
Sep 8th, 2008, 05:28 PM
3M and Meguiars make a lot of similar products.Wont they conflect,unless Meguiars will make the waxes, polishes and compounds , and 3M will make everthing else. They dont need two kinds of compounds, polishes and waxes. Time will tell.

Nick Chapman
Sep 8th, 2008, 05:29 PM
:eek:

Maserati Mario
Sep 8th, 2008, 05:29 PM
:shocked1Wow! :furious1:scratchhead1:grrrr1:huh1
I thinks it sad that a family owned business sold out. :cry1:cry1But on the other hand it's business and making money is the key to being successful. I hope they made the right dession and things work out for the better. Only time will tell.

SHYNEMAN123
Sep 8th, 2008, 05:56 PM
3M and Meguiars make a lot of similar products.Wont they conflect,unless Meguiars will make the waxes, polishes and compounds , and 3M will make everthing else. They dont need two kinds of compounds, polishes and waxes. Time will tell.

3M'S Compounds are very different than Meg's should be a good mix.

Mark Kleis
Sep 8th, 2008, 06:11 PM
The business and logistical aspect of the deal is fairly simple (IMO)- Meguiar's does extremely well in the "consumer" line of products found at your local auto parts stores, Wal-Marts, SEARS, Target, etc. On the other hand, 3M has an advantage (in terms of market share) in the body shop/professional side of the business.

So you take two number one producers (in their respective markets) and combine them to form one undeniable overall number 1 producer of professional AND consumer products.

Meguiar's WILL continue to operate in a fashion VERY similar to the way they have and do up until now- in fact most people will never notice the change (At least that is my prediction).

I see the positive changes to come like the sharing of technologies to create better products for us to enjoy. also, Meguiar's REALLY shines in its ability to teach their customers about their products, and how to use them. 3M on the other hand totally lacks in that department, so maybe now we will also be able to take advantage of the quality products 3M makes that we don't know well enough to use.

I'm hoping for the best, and only time will tell.

Joe's detailing
Sep 8th, 2008, 06:11 PM
Maybe it will be easier to obtain banners now ...? lets hope so..:chuckle1

mckeand13
Sep 8th, 2008, 06:16 PM
Great. Corporate greed sweeps its way through another company. :furious1

Better stock up on product before 3M starts crapifying it so they can make higher margins.

Sorry folks, but we will all pay for this poor decision.

Jokeman
Sep 8th, 2008, 06:19 PM
Maybe it will be easier to obtain banners now ...? lets hope so..:chuckle1

Hah!! Buying stuff adds up. Its very easy to get yourself a banner. :nervous1 When you start buying in bulk, you get to that point VERY quickly.

Maserati Mario
Sep 8th, 2008, 06:25 PM
:cry1:cry1:cry1:cry1:cry1:cry1:cry1:cry1:cry1
Meguiar's in Irvine has been a family-owned business for 100 years. Now it will be part of 3M, maker of everything from Scotch tape to Post-it notes.
Terms of the deal, which is expected to close in the fourth quarter, were not disclosed. Meguiar’s has 115 employees.

You don’t have to be a car enthusiast to have a bottle of Meguiar’s polish or wax in your garage cabinet. Its product line has expanded far beyond the original Mirror Glaze polishes.
However, the waxing habit has waned. In a 2004 Barry Meguiar told colleague Diana McCabe, just 23% of Americans wax their cars today, down from 65% in the mid-’70s. The need to polish and wax has fallen as auto manufacturers have developed more resilient paint finishes.
“Combining with 3M will greatly enhance our ability to serve and support car crazy people on a global basis,” he said about today’s announcement of the sale. “We are excited about the opportunity to grow our business by joining forces with one of the world’s great global companies, working together to increase our support of the car hobby worldwide.”
Meguiar’s will be part of 3M’s Automotive Aftermarket Division.
“The addition of Meguiar’s builds on our professional offering for the automotive industry and brings the expertise of Barry Meguiar in the growing enthusiast market for car care products,” said Ian Hardgrove, vice president of the Automotive Aftermarket Division.

RamAirV1
Sep 8th, 2008, 07:03 PM
To Mike and Mike, better buy some warm clothes for those visits to the corporate office in the Twin Cities................:chuckle1

BTW 3M is very regimented, and are very big on the suit and tie thing for it's employees.

It will be an adjustment for sure.

RamAirV1

davey g-force
Sep 8th, 2008, 07:06 PM
I'm not so sure about this. I hope it all goes well and Meguiars products stay great for us consumers.

I have a bad feeling that the passion, philosophy and commitment behind a family owned company will be lost to a greedy corporate giant.

LacViet
Sep 8th, 2008, 07:19 PM
WOW! What can I say? I have mix feeling about this acquisition.
I'm excited by the news of combining Meguiar's with 3M because I know together, they will develop some crazy products for car enthusiasts, but on the other hand, small company bought out by big corp. is never a good thing for the small one. It means that some of the products from Meguiar's will be discontinue due to duplicate product line from 3M, consolidate facilities and possible cut employees. Hope all the best for Meguiar's!

akimel
Sep 8th, 2008, 07:41 PM
Now I know why I couldn't get through to the consumer office today to place an order. The message said that everyone was at a special staff meeting.

I am sorry to hear this news. Everything changes after a buyout like this. Everything changes. And rarely are these changes good, either for the consumer or for the employees of the formerly family-owned company. But such is business. Time will tell.

thejazzguy
Sep 8th, 2008, 07:51 PM
I am sorry to hear this news. Everything changes after a buyout like this. Everything changes. And rarely are these changes good, either for the consumer or for the employees of the formerly family-owned company. But such is business. Time will tell.

Sadly, this is my experience as well....:bawling1

Heatgain
Sep 8th, 2008, 07:55 PM
Congrats to Meguiar's!
Bad for us the consumers, I think. $40.00 for a pint of Ultrafina...hope the same doesn't happen to Meguiar's stuff.
Hope I'm wrong.

PERFECTION
Sep 8th, 2008, 08:10 PM
Since were talking about 3m they have also aquired Edge Pads company. I talked with Aaron the owner and he said the same thing Megs is saying that 3m is leaving everything in place including him but bought everything.
I think there gearing up to take over the industry.

PaintPolisher
Sep 8th, 2008, 08:53 PM
Yikes!

Number ONE rule to remember – rumors will run amok! :nervous1

Best of luck to all.

al

zergling
Sep 8th, 2008, 09:23 PM
One of the vendors that I work very closely with was recently taken over by a rather big international company. Boy, that acquisition has become a big pain in the butt for me as an system admin, and my department, as a customer. Not to mention they announced that pricing will go up as high as 25% (no kidding).

I'm seriously hoping that this 3M Meg deal will be nothing like that.

Woodie6250
Sep 8th, 2008, 09:44 PM
I am very disappointed at this news. It might make a lot of sense from an economic and business perspective, but whatever big business say about customers and customer service, their only concern is keeping the shareholders happy.

I really hope that I'm wrong, but I've been through too many company restructures in my career that have demonstrated that profit always trumps the customer in big business.

VonLego
Sep 8th, 2008, 09:49 PM
Very nervous...

Sydster
Sep 8th, 2008, 11:04 PM
One thing that is going to go for sure is the Detailer line, that is just my opinion thou.

:bawling1

100kdown
Sep 9th, 2008, 01:41 AM
Over my 30+ year corporate career(s), I've had the dubious honor of surviving 3 buyouts. In all cases, the buyer stated that "No changes will be made" and "(fill in the blank) will continue as a wholly owned subsidiary of (fill in the blank)". In all cases, within 6 months, the consolidation of people, facilities and products began. Unnecessary duplication was eliminated. Products deemed "unprofitable" by the buyer were discontinued. That's business, folks.

I suspect 3M, being a profit (shareholder) driven organization, will follow this path. One thing we can be sure of, if the deal goes through, is that there will be changes. Hopefully for the good, but only time will tell.

Bence
Sep 9th, 2008, 03:49 AM
Let's dig out positive merger/partnership/acquirement examples where the buyee came out as overall winner or markedly improved company!

Other than that, I'm proud that I knew the true Meg's - but now something is irrepearably went wrong and lost.

acsuppa
Sep 9th, 2008, 04:05 AM
Wow! I just find out and I'm shocked. Well, at least it is 3M and not a crappy company. I've been hearing a lot of good things over the years about 3M Pro products. maybe now I can give a few a try and not feel guilty. ha Ha.

bookeem
Sep 9th, 2008, 05:05 AM
why meguiars why, they just want the recipe to your secret sauce, once they have that, what are u left with...:confused:

SD DIESEL
Sep 9th, 2008, 05:21 AM
I am sorry to hear this news. Everything changes after a buyout like this. Everything changes. And rarely are these changes good, either for the consumer or for the employees of the formerly family-owned company. But such is business. Time will tell.

Been hear before.

audionutmike
Sep 9th, 2008, 05:24 AM
I couldn't sleep last night over this...I just don't have a good feeling about it. It's obvious that Meguiar's as we know it is gone forever, but I fear that many of the great products are going to be gone too:bawling1. What a loss.... I sure hope I'm wrong, and I hope the best for all of the employees.

Bert31
Sep 9th, 2008, 05:53 AM
I couldn't sleep last night over this..

Taking this a little personal aren't you?:D

Jimmy Buffit
Sep 9th, 2008, 05:55 AM
Did I miss some mention of The Shansby Group? (http://www.tsgconsumer.com/partnercompanies.shtml#household) They have been substantial stakeholders of Meguiar's for over 5 years. Are they still involved...

dvtldav
Sep 9th, 2008, 06:08 AM
Not all mergers are bad. In fact there are a lot of mergers that you never hear about and nothing ever changes. Example: Whirlpool, Kitchen Aid, Jenn Air, and I think Maytag are all the same company now. Electrolux owns Frigidaire. So just because a small company is bought out, it doesn't mean bad things are going to happen. I own a little bit of 3M stock so I get their annual report, plus I have read articles about them in magazines like Fortune and Forbes and they seem to be a pretty solid company. They are big into R&D and in the past, I don't know about now, required their engineers to spend at least 8 hours a week working on developing new products. This could be on an individual basis or as a team effort. So hopefully this will continue at Meguiar's and things will only get better. Besides, since I am a stock holder maybe I can get a discount on Meg's products. :chuckle1

Dave

mike_svt
Sep 9th, 2008, 06:13 AM
New name = 3Meg?:chuckle1

If products are going to be discontinued, maybe we (MOL) could get a heads-up so we can stock up on our old-time (and new) favorites!

InfiniteDetail
Sep 9th, 2008, 06:18 AM
Over my 30+ year corporate career(s), I've had the dubious honor of surviving 3 buyouts. In all cases, the buyer stated that "No changes will be made" and "(fill in the blank) will continue as a wholly owned subsidiary of (fill in the blank)". In all cases, within 6 months, the consolidation of people, facilities and products began. Unnecessary duplication was eliminated. Products deemed "unprofitable" by the buyer were discontinued. That's business, folks.

I suspect 3M, being a profit (shareholder) driven organization, will follow this path. One thing we can be sure of, if the deal goes through, is that there will be changes. Hopefully for the good, but only time will tell.

This is exactly the experience I had with my former employer. Sadly, there's no way a profit driven company can resist the temptation to eliminate "duplicate functions" to "streamline operations."

I wish all the best to Meguiar's employees, and I hope and pray that the excellent Meguiar's products continue.

Blake Beamish
Sep 9th, 2008, 06:23 AM
New name = 3Meg?:chuckle1

That's funny!

I am personally excited about the news. 3M is a fantastic company who is very philanthropic and has a long history just as Meguiar's does. They have complete respect for us as we have competed against them for many many years.

seth1066
Sep 9th, 2008, 06:43 AM
Cheer up guys. From what I can get out of the news releases is Barry is not going anywhere. Meguiar's sponsors 11,000 automotive events annually; you can't do that unless you are making money. Whatever Barry and Meguiar's 115 employees are doing, they are good at it and one would think, making a decent profit; their sales are reported to be over $100 million per year. I doubt if 3M is just going to come in, make everyone wear ties, and screw it up.

Here are some quotes from news sources and the 3M press release:

"The addition of Meguiar’s builds on our professional offering for the automotive industry and brings the expertise of Barry Meguiar in the growing enthusiast market for car care products...”

"Chosen by 20 out of 24 “Best of Class” winners at the 2008 Pebble Beach Concours d’Elegance, Meguiar’s provides highly specialized products for every automotive surface, including paint, wheels, tires, and interiors. As part of its passionate support for the car hobby, Meguiar’s sponsors more than 11,000 car shows globally and produces Meguiar’s Car Crazy Television and Radio that represent car enthusiasts worldwide."

"The deal, set to close in the fourth quarter, is likely sizable as Meguiar’s has yearly sales of more than $100 million."

CowboyTruckn
Sep 9th, 2008, 07:18 AM
I have been a Meguiar's user for a long time and really enjoy their products. I am not sure about this whole 3M thing but I do know one thing, if their prices go up one penny I will definately find me another car care supplier for my vehicles. Hey Mr. Chip Foose do you need a hand waxing that car?

seth1066
Sep 9th, 2008, 07:22 AM
I have been a Meguiar's user for a long time and really enjoy their products. I am not sure about this whole 3M thing but I do know one thing, if their prices go up one penny I will definately find me another car care supplier for my vehicles. Hey Mr. Chip Foose do you need a hand waxing that car?Prices fluctuate for a lot of different reasons, how will you know which one?

CowboyTruckn
Sep 9th, 2008, 07:35 AM
If one or two products go up that is understandable. Most retailers can even absorb some mark up and put it off as long as they can before they mark theirs up. But when all the products go up, at the same time, that would make anybody wonder. I don't know about everywhere else but our gas prices are dropping like a rock now and I have noticed a lot of our prices at grocers and retails are dropping with them. So it can't be blamed on gas prices now.

seth1066
Sep 9th, 2008, 07:58 AM
If one or two products go up that is understandable. Most retailers can even absorb some mark up and put it off as long as they can before they mark theirs up. But when all the products go up, at the same time, that would make anybody wonder. I don't know about everywhere else but our gas prices are dropping like a rock now and I have noticed a lot of our prices at grocers and retails are dropping with them. So it can't be blamed on gas prices now.Prices are generally set at or near what the market will bear. That said, there is the supply/demand aspect to be applied as well. It's hard to get $3.75 per when the station across the street is at $3.63. Gas is a commodity, Meguiar's products are not to all. A large high volume commercial autobody shop may be very sensitive to price and their demand for any one compound supplier is elastic. One theory is that 3M will control two large supply sources and hence raise prices. However, this opens the door for another company to try and gain a foothold via price.

If any prices change it may or may not be because of 3M, the market economics are just too complex. Generally, the idea is to keep the prices low as possible in a competitive market to keep others out.

TKDDAD
Sep 9th, 2008, 07:59 AM
That's funny!

I am personally excited about the news. 3M is a fantastic company who is very philanthropic and has a long history just as Meguiar's does. They have complete respect for us as we have competed against them for many many years.

Certainly 3M knows a little about this business. Their name is synonomous with great products and innovation. I think if we saw Meg's being bought up by Turtle Wax, there would be reason to cringe. I too have been through some really bad acquisitions where companies are only focused on bottom line results. It's business. In this case, I think it will mean better things to come. I would like to think that the loyal forum members would get some advance notice on product discontinuations. And......... :thinking1 MAYBE NOW WE CAN GET T-SHIRTS !?!?!? :thinking1

BlueZero
Sep 9th, 2008, 08:00 AM
Minnesota Mining and Manufacturing = 3M
Meguiar's = M

3M + M = 4M

That get's my vote for the new company name... 4M

Just teasing, I hope the name doesn't change.

Maybe they will bring back the brush line? Or give us 4" soft buff pads?

dvtldav
Sep 9th, 2008, 08:02 AM
Sadly, there's no way a profit driven company can resist the temptation to eliminate "duplicate functions" to "streamline operations."

If this is true, then why does GM have a 3.4L, 3.5L, & a 3.6L V-6 in their engine line? Why not have just one and avoid duplication? Of course that may be why GM is in the shape they are financially right now.

Dave

MGDanny
Sep 9th, 2008, 08:20 AM
It doesn´t feel good this 3M buying Meguiar´s. I can´t understand how Barry could sell to a company like 3M who probably don´t give a f... about the soul of Meguiar´s..I´m very sad today!!!:bawling1:bawling1:bawling1:bawling1
I really hope all the wonderful Meguiar´s products will remain on the market.

acsuppa
Sep 9th, 2008, 08:21 AM
I hope things don't change too much. They will I'm sure. Just a matter of time. It would be great if things stayed the same but how could they? They are not going to make duplicate of almost everything. Pads, cleaners etc. I read that 3M also bought one of the big well known pad makers.

seth1066
Sep 9th, 2008, 08:27 AM
What if 3M took Megs pad R&D and technology and transferred it to the just acquired pad manufacturer? Would that diminish the quality and technology of the pads?

Bert31
Sep 9th, 2008, 08:32 AM
Not all mergers are bad.

This is true. Brown Forman Corp. owns numerous wineries and several distilleries. When BF buys a new winery or distillery, it is generally not to change the winery or distillery but BF is betting that if they can get this wine or spirit into their very large distribution network, they can get that wine or spirit on the shelf of a lot of stores that originally would not have considered carrying that wine or spirit and therefore sales of that product increase greatly making BF's investment very wise.

In the case of 3M and Meguiars, I wonder if it is the same idea but in the opposite direction. 3M's products are very commonly found in commercial areas (bodyshops, professional detailers, etc.) but not so much on the shelf of your neighborhood autoparts store. Meguiars on the other hand is found at just about every autoparts store, Walmart, etc.. Maybe 3M is trying to piggie back Meguiars distribution network to get their products on more shelves at stores.

seth1066
Sep 9th, 2008, 08:41 AM
This is true. Brown Forman Corp. owns numerous wineries and several distilleries. When BF buys a new winery or distillery, it is generally not to change the winery or distillery but BF is betting that if they can get this wine or spirit into their very large distribution network, they can get that wine or spirit on the shelf of a lot of stores that originally would not have considered carrying that wine or spirit and therefore sales of that product increase greatly making BF's investment very wise.

In the case of 3M and Meguiars, I wonder if it is the same idea but in the opposite direction. 3M's products are very commonly found in commercial areas (bodyshops, professional detailers, etc.) but not so much on the shelf of your neighborhood autoparts store. Meguiars on the other hand is found at just about every autoparts store, Walmart, etc.. Maybe 3M is trying to piggie back Meguiars distribution network to get their products on more shelves at stores.That wouldn't work, imo. 3M would be competing with their own, already profitable, Meg products. BTW, I saw some 3M wax and cleaner/wax at WalMart last night. I'm guessing that they can't continue to produce competing dual product lines under two different brand names, even if the product is not the same. What might make sense is Meguiar's does all consumer products and 3M does all professional products or most likely, some combination thereof.

Alfisti
Sep 9th, 2008, 08:42 AM
Oh dear.

miahjohn
Sep 9th, 2008, 09:04 AM
i gotta say i am in the boat with doubts. i would hate to see 3M wipe out meguiars products that i buy at say wal mart or to rebadge all the pro line products. better stock up now!!

audionutmike
Sep 9th, 2008, 09:07 AM
Taking this a little personal aren't you?:D
Yep.

Joe's detailing
Sep 9th, 2008, 09:10 AM
Nothing lasts forever, even family owned sells out, it's inevitable...

seth1066
Sep 9th, 2008, 09:29 AM
i gotta say i am in the boat with doubts. i would hate to see 3M wipe out meguiars products that i buy at say wal mart or to rebadge all the pro line products. better stock up now!!Who knows exactly what they'll do. They bought a strong worldwide brand name and paid big money for it, Barry is staying, etc. There are many possible scenarios. Here's one; they share all their technology and R&D with Meguiar's and give up the 3M compund/polish/wax business making it Meguiar's only.

acsuppa
Sep 9th, 2008, 09:50 AM
What if 3M took Megs pad R&D and technology and transferred it to the just acquired pad manufacturer? Would that diminish the quality and technology of the pads?


I don't think so. I've never used Edge pads or 3M pads but I've been using Meguiar's or years now. The Meguiar's are great IMO and I've heard really good things about the 3M pads and the Edge pads. I really don't see 3M getting rid of the Edge pads. Unless, they just bought the company to kill the compition.

acsuppa
Sep 9th, 2008, 09:54 AM
That wouldn't work, imo. 3M would be competing with their own, already profitable, Meg products. BTW, I saw some 3M wax and cleaner/wax at WalMart last night. I'm guessing that they can't continue to produce competing dual product lines under two different brand names, even if the product is not the same. What might make sense is Meguiar's does all consumer products and 3M does all professional products or most likely, some combination thereof.

I agree with your comment on the Pro Line. The only thing I hate is the high prices of the 3M Pro Line stuff. Like UltraFina for example. I saw the stuff from anywhere from $34-$40+. I get my Meguiar's Pro stuff for an averge price of arounf $20. Maybe your also right about Meguiar's being the "Consumer Line" Who knows.

ZoranC
Sep 9th, 2008, 09:54 AM
ST. PAUL, Minn., Sep 08, 2008 (BUSINESS WIRE) -- 3M announced today it has entered into an agreement to acquire Meguiar's Inc., ...

Hey, I just noticed something, how come that David Bynon of Autopia posted this more than two hours before MOL did

http://www.autopia.org/forum/autopia-news/111283-3m-buys-meguiar-s.html#post1172287

?

And what is he talking about when he says we should expect pricing to go up in November by 10-15%

http://www.autopia.org/forum/autopia-news/111283-3m-buys-meguiar-s.html#post1172294

?

seth1066
Sep 9th, 2008, 09:56 AM
I don't think so. I've never used Edge pads or 3M pads but I've been using Meguiar's or years now. The Meguiar's are great IMO and I've heard really good things about the 3M pads and the Edge pads. I really don't see 3M getting rid of the Edge pads. Unless, they just bought the company to kill the compition.They have that EdgeAdapter which is a pretty neat concept. That would be great if 3M had Megs produce a pad that used that system; talk about getting the pad on absolute dead center!

imacarnut
Sep 9th, 2008, 10:00 AM
i hope this is a new chapter for megs in a new direction and will help bring even more success. i'm sure things won't change and if they do, it will be only for the better. i would like to add the wonderful service i've received from megs all these years, and would like to Thank these 3 individuals (jorge, brian, tim), you guys rock! :)

The Doctor detailer
Sep 9th, 2008, 10:21 AM
I hope since 3M is a worldwide company, it will be reflected in meguiars international prices. Because per example #21 sinthetic sealant costs in meguiars Mexico over 100 dls.

Jimmy Buffit
Sep 9th, 2008, 10:27 AM
Hey, I just noticed something, how come that David Bynon of Autopia posted this more than two hours before MOL did

David is quite well connected in Irvine. Perhaps Mike Pennington had more pressing issues on his plate. Really, two hours is no big deal...

And what is he talking about when he says we should expect pricing to go up in November by 10-15%

Our local Distributor has been 'warning' of an upcoming increase for at least 6 weeks. Almost everything is petroleum-based, and you know the price of gas! Valvoline/Car Brite has already announced an overall 15% increase.
http://www.autopia.org/forum/autopia-news/111283-3m-buys-meguiar-s.html#post1172294

?

Jim

Bert31
Sep 9th, 2008, 10:36 AM
That wouldn't work, imo. 3M would be competing with their own, already profitable, Meg products. BTW, I saw some 3M wax and cleaner/wax at WalMart last night. I'm guessing that they can't continue to produce competing dual product lines under two different brand names, even if the product is not the same. What might make sense is Meguiar's does all consumer products and 3M does all professional products or most likely, some combination thereof.

Many companies sell similar items which theoretically compete against one another. They are just trying to match a product with different tastes.

I am not saying the theory I stated was my prediction, just agreeing with a former poster that not all mergers are bad. Too early to tell with this one. Though I do feel that the odds are that I won't care for this merger for some reason. Oh well, it is not like there are not plenty of other good detailing suppliers.

RDVT4ME
Sep 9th, 2008, 10:53 AM
All this speculation about what will happen is certainly interesting as there may be impacts to us as consumers.

But, my main concern is for all our great friends who work for Meguiars. Hopefully their jobs will be secure. I'd say one of the best things about MOL is the relationships that have happened while discussing our favorite subject.

Z701
Sep 9th, 2008, 12:48 PM
Wow, the rumors are flying already! I would guess this aquisition is going to be a good thing all around. Meg's will keep their current lines under the same name. Both R&D teams will produce even better products for us to use. We will have the correct system of products to do the job fast and right from Meg's, 3M and Edge now that they are not competing with each other.

ZoranC
Sep 9th, 2008, 01:45 PM
All this speculation about what will happen is certainly interesting as there may be impacts to us as consumers.

But, my main concern is for all our great friends who work for Meguiars. Hopefully their jobs will be secure. I'd say one of the best things about MOL is the relationships that have happened while discussing our favorite subject.
+1 Amen!

Hemin8r
Sep 9th, 2008, 01:46 PM
+1 Amen!

:xyxthumbs

J. A. Michaels
Sep 9th, 2008, 02:30 PM
All this speculation about what will happen is certainly interesting as there may be impacts to us as consumers.

But, my main concern is for all our great friends who work for Meguiars. Hopefully their jobs will be secure. I'd say one of the best things about MOL is the relationships that have happened while discussing our favorite subject.

Thats putting it in the proper perspective. I hope everything is status quo for the great people at Meguiars.

newdetailingguy
Sep 9th, 2008, 02:35 PM
speculation or not it's still a sad day seeing a family owned business that has come so far and made such amazing leaps in the automotive industry sell out...... Part of the appeal for me is the family owned in touch with costumers service that Megs provides....Buying out a company makes a statement and that is, increase revenue that is their (3M's) priority. i personally will attempt to purchase as many products i can before the deal closes just because the POSSIBILITY products and service will change is there! No one but 3M at this point can tell us what ACTUAL changes will occur so basically anything that Meg's employees "know" might not be the case come actual merger day. Sad sad day we can only pray that your jobs and our products still are the same come the months to follow the closing of the deal

ZoranC
Sep 9th, 2008, 02:49 PM
David is quite well connected in Irvine. Perhaps Mike Pennington had more pressing issues on his plate. Really, two hours is no big deal...


It is not about two hours. I just find it (insert the best word here as I am missing one) that one of Meguiar's "competitors" (business wise and community wise) is informed well ahead of Meguiar's one.



Our local Distributor has been 'warning' of an upcoming increase for at least 6 weeks. Almost everything is petroleum-based, and you know the price of gas! Valvoline/Car Brite has already announced an overall 15% increase.
http://www.autopia.org/forum/autopia...ml#post1172294


Thank you for the clarification.

seth1066
Sep 9th, 2008, 03:00 PM
It is not about two hours. I just find it (insert the best word here as I am missing one) that one of Meguiar's "competitors" (business wise and community wise) is informed well ahead of Meguiar's one.The press release from 3M was put out on Monday at 1:00 PM. Autopia announced it at 3:15 PM.

Michael Stoops
Sep 9th, 2008, 03:05 PM
But, my main concern is for all our great friends who work for Meguiars. Hopefully their jobs will be secure. I'd say one of the best things about MOL is the relationships that have happened while discussing our favorite subject.
Thanks for that, Bob, and to all the rest of you who responded in kind.

The guys from 3M have been here for a couple of days and of course presented at our meeting yesterday morning. Barry was, naturally, very adamant that any partner he may take on would have to fully "get" us. 3M is acutely aware of the success of the Meguiar's brand and freely admit to "being in awe" of what Meguiar's has done with relatively limited resources. They have witnessed first hand the level of customer loyalty Meguiar's enjoys, even coming right out and saying they've never seen anything like it in the past. Ever. Not even close.

While not every detail has been 100% defined (and even if it were, well, some things are not for public consumption, you know?:nervous1) the basic gist is this: 3M knows that to mess with the brand is a bad thing - they're here to infuse the resources necessary to grow Meguiar's into a global force, and to do it far more quickly than Meguiar's ever could on its own. This is an intelligent and savvy group. Exciting times ahead.

acsuppa
Sep 9th, 2008, 03:23 PM
They have that EdgeAdapter which is a pretty neat concept. That would be great if 3M had Megs produce a pad that used that system; talk about getting the pad on absolute dead center!

Yeah! That is why I was interested in the Edge Pads a while back but I just stuck with my trusty Meguiar's pads.

acsuppa
Sep 9th, 2008, 03:24 PM
Thanks for that, Bob, and to all the rest of you who responded in kind.

The guys from 3M have been here for a couple of days and of course presented at our meeting yesterday morning. Barry was, naturally, very adamant that any partner he may take on would have to fully "get" us. 3M is acutely aware of the success of the Meguiar's brand and freely admit to "being in awe" of what Meguiar's has done with relatively limited resources. They have witnessed first hand the level of customer loyalty Meguiar's enjoys, even coming right out and saying they've never seen anything like it in the past. Ever. Not even close.

While not every detail has been 100% defined (and even if it were, well, some things are not for public consumption, you know?:nervous1) the basic gist is this: 3M knows that to mess with the brand is a bad thing - they're here to infuse the resources necessary to grow Meguiar's into a global force, and to do it far more quickly than Meguiar's ever could on its own. This is an intelligent and savvy group. Exciting times ahead.


Sounds real good.

ZoranC
Sep 9th, 2008, 03:25 PM
The press release from 3M was put out on Monday at 1:00 PM. Autopia announced it at 3:15 PM.
Then Autopia's timestamp is misleading me as it was saying noon to me.

Michael Stoops
Sep 9th, 2008, 03:49 PM
Regarding Autopia posting this news before MOL did:

It appears the official press release from 3M was on or about 1:00PM Eastern/10:00AM Pacific. All Meguiar's employees were in a meeting at that time - the folks at Autopia were not and could post as soon as they saw the AP news feed. Mike Pennington didn't post it until we all got out of the meeting and back to the office. Nothing strange in that. News travels pretty quickly these days - the owner of the Ace Cafe outside London, England even phoned during the meeting to say he'd seen the news.

BlueZero
Sep 9th, 2008, 03:50 PM
the basic gist is this: 3M knows that to mess with the brand is a bad thing - they're here to infuse the resources necessary to grow Meguiar's into a global force, and to do it far more quickly than Meguiar's ever could on its own. This is an intelligent and savvy group. Exciting times ahead.

:woot2

seth1066
Sep 9th, 2008, 04:16 PM
Thanks for that, Bob, and to all the rest of you who responded in kind.

The guys from 3M have been here for a couple of days and of course presented at our meeting yesterday morning. Barry was, naturally, very adamant that any partner he may take on would have to fully "get" us. 3M is acutely aware of the success of the Meguiar's brand and freely admit to "being in awe" of what Meguiar's has done with relatively limited resources. They have witnessed first hand the level of customer loyalty Meguiar's enjoys, even coming right out and saying they've never seen anything like it in the past. Ever. Not even close.

While not every detail has been 100% defined (and even if it were, well, some things are not for public consumption, you know?:nervous1) the basic gist is this: 3M knows that to mess with the brand is a bad thing - they're here to infuse the resources necessary to grow Meguiar's into a global force, and to do it far more quickly than Meguiar's ever could on its own. This is an intelligent and savvy group. Exciting times ahead.Thanks, Mike, great news for Meguiar's. Any way to quell or confirm the price increase rumors, or too early on to tell?

Michael Stoops
Sep 9th, 2008, 04:36 PM
Thanks, Mike, great news for Meguiar's. Any way to quell or confirm the price increase rumors, or too early on to tell?
There was no discussion whatsoever about price increases or anything related to products/lines/etc.

David Bynon at Autopia made some valid comments about price increases industry wide due to the rapid escalation in oil prices. But similar price increases have also been seen at grocery stores, clothing stores, airfares, etc. Basically anything that utilizes any sort of petroleum product in its manufacturing process, or is transported via any sort of petroleum powered vehicle could potentially face a price increase. And yes, I realize that narrows things down to "everything on earth" :chuckle1

Toolman
Sep 9th, 2008, 04:54 PM
Being involved in several acquisition & divestiture deals in the past, here are what I speculate will happened...

1) Business culture within the selling group (Meguiar’s) will change
2) Some people (usually those from the selling company) will be “restructured” out of the business (there will be loads of restructuring funds to pay of this)
3) The key personnel within the selling group (Meguiar’s) will remain until such time the merger is stabilized or the newly appointed head from the buying group (3M) is ready to take over
4) Technical & sales personnel job should be safe for now but the support, admin or backroom functions will probably be combined and layoff can be expected
5) Products lineup will be streamlined
6) Prices will go up
7) Products deemed unprofitable or duplicated will be shelved
8) Distribution channels will be disrupted albeit temporarily
9) End users will eventually pay for the buyout!!!

I don't like the news one bit but life goes on...all the best guys!

sneek
Sep 9th, 2008, 05:04 PM
I am pumped to see what this brings in terms of products. I like a lot of 3M's products but they usually seem to demand a healthy price premium. If they don't change the prices by too too much I will be GREATLY pleased.

seth1066
Sep 9th, 2008, 06:20 PM
Being involved in several acquisition & divestiture deals in the past, here are what I speculate will happened...

1) Business culture within the selling group (Meguiar’s) will change
2) Some people (usually those from the selling company) will be “restructured” out of the business (there will be loads of restructuring funds to pay of this)
3) The key personnel within the selling group (Meguiar’s) will remain until such time the merger is stabilized or the newly appointed head from the buying group (3M) is ready to take over
4) Technical & sales personnel job should be safe for now but the support, admin or backroom functions will probably be combined and layoff can be expected
5) Products lineup will be streamlined
6) Prices will go up
7) Products deemed unprofitable or duplicated will be shelved
8) Distribution channels will be disrupted albeit temporarily
9) End users will eventually pay for the buyout!!!

I don't like the news one bit but life goes on...all the best guys!I think you're confusing 3M's aquisition with the purchase of a sub standard, marginally profitable company bought on the cheap.

How about this: 3M doubles Meguiar's budget who then goes on to triple sales and profits.


"9) End users will eventually pay for the buyout!!!"

This is always true, no matter what. When Barry's grandfather, Frank Meguiar, first went into business 107 years ago, I'm pretty sure that the "end users eventually" paid back his original capital outlay, sweat equity and then some. Same thing happened with Henry Ford and millions of other companies worldwide.

Meguiar's sold a $100 million of product last year, at a profit. 3M paid that profit multiplied by X. In X years, they will get their investment back from the "end users." In the meantime, they are out millions in either cash, stock dilution or a combination of the two and they take all the risks. The latter, imo, puts a damper on them wanting to overly change the current (and proven) system.

jfelbab
Sep 9th, 2008, 08:49 PM
Well, I retired from the detailing business recently but if I was still doing the volume I used to, I'd be considering stocking up on my go-to products to make sure there were no blind surprises hitting my operation. This would give me time to learn and transition to other products in the event of lines being dropped or products being suddenly eliminated.

I've been through a few of these types of acquisitions in my career and when the 500 pound gorilla buys your small company they hardly pay any attention the the way you used to operate it. They have their own ideas and as been mentioned are solely driven by quarter over quarter profit for shareholders as they should be.

I'm in the group that is saddened by this announcement.

Stevens Detailing
Sep 9th, 2008, 09:04 PM
Thanks for that, Bob, and to all the rest of you who responded in kind.

The guys from 3M have been here for a couple of days and of course presented at our meeting yesterday morning. Barry was, naturally, very adamant that any partner he may take on would have to fully "get" us. 3M is acutely aware of the success of the Meguiar's brand and freely admit to "being in awe" of what Meguiar's has done with relatively limited resources. They have witnessed first hand the level of customer loyalty Meguiar's enjoys, even coming right out and saying they've never seen anything like it in the past. Ever. Not even close.

While not every detail has been 100% defined (and even if it were, well, some things are not for public consumption, you know?:nervous1) the basic gist is this: 3M knows that to mess with the brand is a bad thing - they're here to infuse the resources necessary to grow Meguiar's into a global force, and to do it far more quickly than Meguiar's ever could on its own. This is an intelligent and savvy group. Exciting times ahead.

Thanks Mike.

Everything will just get better than it already is because Barry would never put the dollar before his passion. Good things are ahead.

ZoranC
Sep 9th, 2008, 10:36 PM
... the owner of the Ace Cafe outside London, England even phoned during the meeting to say he'd seen the news.
World is definitely getting smaller.

Alfisti
Sep 10th, 2008, 12:01 AM
I wonder what Mike Phillips thinks about all this. :scratchhead1

Mark Kleis
Sep 10th, 2008, 12:16 AM
I wonder what Mike Phillips thinks about all this. :scratchhead1

I don't mean to put words in his mouth, (and hopefully I am not...) but I had a chance to speak with him a bit earlier today (Well shoot, yesterday now that it is past midnight) and he seemed 100% positive! In fact, I think he wouldn't even have felt the need to address the topic had I not brought it up (That's how LITTLE he is worried about it, and let's be honest- Mike has more on the line here than any of us do!).

The outlook is truly 100% positive over at Meguiar's, it isn't smoke and mirrors. Mike (like many of us) is focusing on the POTENTIAL for positive growth and product integration. It's no secret that Meguiar's is the detailing supply king in our eyes, 3M and EDGE System Pads each had some winners in their line-ups as well. Now that they have all joined forces they have the potential to produce some absolutely stellar products and product lines, and hopefully even improve their distribution channels at the same time.

:woot2

SD DIESEL
Sep 10th, 2008, 12:59 AM
I was in my local Mirror Glaze store 3 weeks ago when they opened the letter saying price increase by nov. 1 and it was 10-15%,

yalerd
Sep 10th, 2008, 04:47 AM
The guys from 3M have been here for a couple of days and of course presented at our meeting yesterday morning. Barry was, naturally, very adamant that any partner he may take on would have to fully "get" us.

I really hope!
I wish the best not only to the Meguiar's brand itself but all you guys in there. All those Mike's :)

Alfisti
Sep 10th, 2008, 05:03 AM
I don't mean to put words in his mouth, (and hopefully I am not...) but I had a chance to speak with him a bit earlier today (Well shoot, yesterday now that it is past midnight) and he seemed 100% positive! In fact, I think he wouldn't even have felt the need to address the topic had I not brought it up (That's how LITTLE he is worried about it, and let's be honest- Mike has more on the line here than any of us do!).

The outlook is truly 100% positive over at Meguiar's, it isn't smoke and mirrors. Mike (like many of us) is focusing on the POTENTIAL for positive growth and product integration. It's no secret that Meguiar's is the detailing supply king in our eyes, 3M and EDGE System Pads each had some winners in their line-ups as well. Now that they have all joined forces they have the potential to produce some absolutely stellar products and product lines, and hopefully even improve their distribution channels at the same time.

:woot2
Thanks for the response. :wavey

mcox
Sep 10th, 2008, 06:25 AM
Not all mergers are bad. In fact there are a lot of mergers that you never hear about and nothing ever changes. Example: Whirlpool, Kitchen Aid, Jenn Air, and I think Maytag are all the same company now. Electrolux owns Frigidaire. So just because a small company is bought out, it doesn't mean bad things are going to happen.Dave

Dave,

Although in principle I agree with the "tone" of your statement I am assuming that you did not know that a few years ago Electrolux put approximately 2500 hundred, I believe, people out of work in Greenville Michigan shortly after consolidating some of those companies that you mentioned.

seth1066
Sep 10th, 2008, 06:29 AM
Dave,

Although in principle I agree with the "tone" of your statement I am assuming that you did not know that a few years ago Electrolux put approximately 2500 hundred, I believe, people out of work in Greenville Michigan shortly after consolidating some of those companies that you mentioned.Meguiar's has 115 employees producing $100 million in sales. Not too much there to cut.

mcox
Sep 10th, 2008, 07:15 AM
Although I agree with Seth in that 115 employees is not that many one has to remember that 3M, as well as just about any other manufacturing company, have their own systems and processes in place that strive to continuously improve those systems in order to do more with what you have, lean manufacturing. A common misconception of lean is that it is used to justify laying people off when in its purest form it means just the opposite. That do more with what you have thing I mentioned earlier. Other things that we, or at least I, do not know is exactly what Barry’s new title is and who he may report to in the new org chart. We do know that Michael Stoops has said that Barry was/is very adamant about not changing what has made Meg special. Will that change? Who knows? Change for the sake of change is of course pointless. I’m sure that we all would agree that Barry “gets it.” We certainly do not know the language of the agreement and to what extent Barry has insisted on protecting both the brand and his employees. We all have a sense of the corporate culture of Megs from all of our interactions with the absolutely wonderful and passionate people that work there so we know. I would be stunned if 3M and Barry did not know. However, first A-B now Megs, it does make one wonder. I also had that feeling of, I don’t know, sadness maybe, when I read the press release. One thing we all must remember is that its 3M not an upstart company going crazy trying to line their pockets then bail. 3M did not become 3M by being completely stupid. As one of the Mike's said, 3M is acutely aware of Megs and their products. Ultimately, the merger(?) has to make good business sense from both sides of the table. I guess like everyone else that is involved, we will just have to wait and see and then make our pleasure known by either continuing to buy the product line or not.

seth1066
Sep 10th, 2008, 07:45 AM
Although I agree with Seth in that 115 employees is not that many... My point here is the employee to sales ratio is very high and the company would seem to be already operating at a very high efficiency factor, hence it would be hard to find an area to layoff staff. Each employee is probably a necessity.

From investopedia.com:

"What Is the Sales-per-Employee Ratio?

The name indicates how the sales/employee ratio is calculated: a company's annual sales divided by its total employees. Annual sales and employee numbers are easily located in published statements and annual reports.

The sales-per-employee ratio provides a broad indication of how expensive a company is to run. It can be especially insightful when measuring the efficiency of businesses such as banks, retailers, consultants, software companies and media groups. "People businesses" lend themselves to the sales per employee ratio.

Interpreting the ratio is fairly straightforward: companies with higher sales-per-employee figures are generally considered more efficient than those with lower figures. A higher sales-per-employee ratio indicates that the company can operate on low overhead costs, and therefore do more with less employees, which often translates into healthy profits."

mcox
Sep 10th, 2008, 07:57 AM
Seth,

You're absolutely correct.

3Fitty
Sep 10th, 2008, 08:19 AM
Well corporations are in the business of making money (wow, big surprise there :chuckle1), so the intellectual heavyweights at 3M either look at Meguiar's as a successful business venture or something which can be made successful.

Based upon the info exchanged here, I think it's pretty clear that the brain trust at 3M figured they could just buy Meg's and keep it profitable and maybe even enhance it. If they did even the most rudimentary research about Meg's customers they would see that by in large they come from a segment of people who like good products at a low price (with amazing customer service to boot). I think if they try to tinker too much with any of those items, they could find themselves in trouble.

Where it gets interesting is with regards to the detailer line and the professional line. Will 3M be interested in mainting the "enthusiast" and "pro" market? Will they use their size to get these items more readily available to the average consumer? Who knows.

Only time will tell, so I guess we will just have to wait and see.

Bert31
Sep 10th, 2008, 08:19 AM
My point here is the employee to sales ratio is very high and the company would seem to be already operating at a very high efficiency factor, hence it would be hard to find an area to layoff staff. Each employee is probably a necessity.

From investopedia.com:

"What Is the Sales-per-Employee Ratio?

The name indicates how the sales/employee ratio is calculated: a company's annual sales divided by its total employees. Annual sales and employee numbers are easily located in published statements and annual reports.

The sales-per-employee ratio provides a broad indication of how expensive a company is to run. It can be especially insightful when measuring the efficiency of businesses such as banks, retailers, consultants, software companies and media groups. "People businesses" lend themselves to the sales per employee ratio.

Interpreting the ratio is fairly straightforward: companies with higher sales-per-employee figures are generally considered more efficient than those with lower figures. A higher sales-per-employee ratio indicates that the company can operate on low overhead costs, and therefore do more with less employees, which often translates into healthy profits."

Not as easy as it sounds though. Some companies don't have many employees because the outsource production of the products to other companies. So the people who make the actual product are not on the company mentioned's payroll. When I was at my local Mirror Glaze, the owner mentioned he gets alot of product from a company in Tennessee who makes the products for Meguiars. So the employee to sales ratio is not always straight forward as it seems on the surface.

RacerX88
Sep 10th, 2008, 08:34 AM
Thanks for that, Bob, and to all the rest of you who responded in kind.

The guys from 3M have been here for a couple of days and of course presented at our meeting yesterday morning. Barry was, naturally, very adamant that any partner he may take on would have to fully "get" us. 3M is acutely aware of the success of the Meguiar's brand and freely admit to "being in awe" of what Meguiar's has done with relatively limited resources. They have witnessed first hand the level of customer loyalty Meguiar's enjoys, even coming right out and saying they've never seen anything like it in the past. Ever. Not even close.

While not every detail has been 100% defined (and even if it were, well, some things are not for public consumption, you know?:nervous1) the basic gist is this: 3M knows that to mess with the brand is a bad thing - they're here to infuse the resources necessary to grow Meguiar's into a global force, and to do it far more quickly than Meguiar's ever could on its own. This is an intelligent and savvy group. Exciting times ahead.

Mike-

That reads/sounds real good. Hopefully, 3M stays true to their intent. Megs is a great company, that make great products. More people just need to know about it!

the other pc
Sep 10th, 2008, 08:47 AM
My point here is the employee to sales ratio is very high and the company would seem to be already operating at a very high efficiency factor, hence it would be hard to find an area to layoff staff. Each employee is probably a necessity. ...Yeah, that was one of my first thoughts, that if 3M wanted to “streamline” Meg’s to be more like them they’d have to hire a bunch of people. ;)



Not as easy as it sounds though. Some companies don't have many employees because the outsource production of the products to other companies. So the people who make the actual product are not on the company mentioned's payroll. When I was at my local Mirror Glaze, the owner mentioned he gets alot of product from a company in Tennessee who makes the products for Meguiars. So the employee to sales ratio is not always straight forward as it seems on the surface.Um, that company in Tennessee is Meguiar’s. Meguiar’s business headquarters in California. Meguiar’s production facility is in Tennessee.


PC.

Tom Weed
Sep 10th, 2008, 10:03 AM
To Mike and Mike, better buy some warm clothes for those visits to the corporate office in the Twin Cities................:chuckle1

BTW 3M is very regimented, and are very big on the suit and tie thing for it's employees.

It will be an adjustment for sure.

RamAirV1

Ha, it can't be any worse than Meguiars making their own employee's wear black shirts in 100 degree heat while holding classes or detailing cars...:scratchhead1:scratchhead1:scratchhead1

ZoranC
Sep 10th, 2008, 10:10 AM
I wonder what Mike Phillips thinks about all this. :scratchhead1
Now I know how 3M got named: Mike Pennington, Mike Stoops, Mike Phillips.

(j/k)

RamAirV1
Sep 10th, 2008, 10:20 AM
Ha, it can't be any worse than Meguiars making their own employee's wear black shirts in 100 degree heat while holding classes or detailing cars...:scratchhead1:scratchhead1:scratchhead1


LOL! That's a good point!

RamAirV1

Bert31
Sep 10th, 2008, 11:29 AM
Um, that company in Tennessee is Meguiar’s. Meguiar’s business headquarters in California. Meguiar’s production facility is in Tennessee.

Oh. I just assumed that the Mirror Glaze Franchisee near me who has sold Meguiars for 25 years and personally knows Barry Meguiar knows what he is talking about when he said it was outsourced to a third party blender in Tenn. Oh well.

I must admit I don't see how it is possible for 115 people to design, produce, sell, provide customer support, and provide administrative corporate duties to a company the size of Meguiars and more impressively with the vast product offering that Meguiars has.

seth1066
Sep 10th, 2008, 11:59 AM
Oh. I just assumed that the Mirror Glaze Franchisee near me who has sold Meguiars for 25 years and personally knows Barry Meguiar knows what he is talking about when he said it was outsourced to a third party blender in Tenn. Oh well.
For the sake of discussion, let's say that the manufacture of product is outsourced to Tennessee. That's simply a cost of production, those Tennessee workers don't dilute the sales per employee ratio. And they certainly can't be fired by 3M. Here's a thought, 3M could take over the productiuon and cut out the middleman.

Bert31
Sep 10th, 2008, 01:39 PM
For the sake of discussion, let's say that the manufacture of product is outsourced to Tennessee. That's simply a cost of production, those Tennessee workers don't dilute the sales per employee ratio. And they certainly can't be fired by 3M. Here's a thought, 3M could take over the productiuon and cut out the middleman.

No they don't dilute the sales per employee, they HELP the sales per employee ratio because they are not employees of Meguiars. I think you are missing the point of my reply. Someone stated that they were amazed at Meguiars sales per employee ratio and I stated that such a ratio can look better than it really is if the company outsources some of it works to third companies. I mentioned the plant down in Tennessee that I thought was a third party blender for Meguiars. The Other PC stated that this Tennessee plant is part of Meguiars. However, I found the following in another forum discussing this:

"If you look back over the past 5 years at what Meguiar's has done, you'd see a significant slim-down. They brought all D-line manufacturing in house. They killed products and product lines that didn't have an immediate pay back opportunity. They consolidated all warehousing. Then, finally, they outsourced all manufacturing and internet sales to 3rd party companies. That means they went from nearly 200 employees to about 100, making themselves easier to be snapped up if they could not pay back the debt."

So maybe the Mirror Glaze Franchisee near me is correct that the plant is a third party who Meguiars outsources to not a Meguiars owned plant. I don't know but I know this has gone much further than I intended.

Michael Stoops
Sep 10th, 2008, 01:56 PM
Everything will just get better than it already is because Barry would never put the dollar before his passion. You guys don't fully realize how very true this statement is.




Now I know how 3M got named: Mike Pennington, Mike Stoops, Mike Phillips.

(j/k)

Now THAT is funny.:chuckle1





I must admit I don't see how it is possible for 115 people to design, produce, sell, provide customer support, and provide administrative corporate duties to a company the size of Meguiars and more impressively with the vast product offering that Meguiars has.
That's exactly what the guys from 3M said to us Monday morning and why they see tremendous things in the future as they give us the financial resources to really cut loose. They were literally stunned at the small number of chemists we have on staff because they figured we must have a battalion of white coats coming up with all these great products. Heh, heh....surprise!!

ment
Sep 10th, 2008, 03:32 PM
i have mixed feeling about this

I do hope 3M wont interfere too much with the Meguiars products. Dont get me wrong, 3M products are good. But they just dont come close with Meguiars

I like the fact that meguiars instantly gained logistic strength.

But its a different thing when you're for the profit then the other guy is in for the love of it.

kellyinkc
Sep 10th, 2008, 03:35 PM
As I try to digest this I keep coming up with why did Barry sell???? :scratchhead1

Kelly

Superior Shine
Sep 10th, 2008, 03:37 PM
I wonder what Mike Phillips thinks about all this. :scratchhead1

He has already been fired and replaced with a robot! :bawling1

ZoranC
Sep 10th, 2008, 04:27 PM
Ha, it can't be any worse than Meguiars making their own employee's wear black shirts in 100 degree heat while holding classes or detailing cars...
We could turn the heater on?

seth1066
Sep 10th, 2008, 05:24 PM
So maybe the Mirror Glaze Franchisee near me is correct that the plant is a third party who Meguiars outsources to not a Meguiars owned plant. I don't know but I know this has gone much further than I intended.Sorry I wasn't more obvious; I have no knowledge of whether or not Meguiar's outsources or owns the Tennessee blending plant and was not taking a position one way or another on that issue.

Kooz
Sep 10th, 2008, 05:37 PM
:sosad1
I'm not so happy about this but at least it was 3M which is a respectable company. They make some fine products. They make a million products, but good quality none the less.

If Meg's was bought by someone like Turtle Wax then I would be fuming mad and possibly shop for a different brand. I spent my time in the global corporate world and I hope things turn out okay for the company and especially the people.

acsuppa
Sep 10th, 2008, 05:53 PM
He has already been fired and replaced with a robot! :bawling1

Yeah, what does Mike Phillips think about this? Is he on a well deserved vacation.

weekendwander
Sep 10th, 2008, 05:54 PM
Everyone thinking that this is gloom and doom need to take a step back. 3M employees 79,000 people. Downsizing or cutting every position at Meguiar's would not change the bottom line of the company.

Now granted some back office things may be consolidated (I am an accountant and I know that I would not want to be in most of those functions)

3M is likely going to give the resources needed to make the products better. They are not going to buy a well known brand and kill it off. There will be changes but everyone is fooling themselves if they 3M is going to willingly send cruddy products to market.

Ryan L.
Sep 10th, 2008, 05:55 PM
Yeah, what does Mike Phillips think about this? Is he on a well deserved vacation.

I think Mike gets every Wednesday off as a trade off for teaching the Saturday classes.

***Offline Today*** (http://meguiarsonline.com/forums/showthread.php?t=27064)

Deaner5
Sep 10th, 2008, 09:29 PM
Not sure how this will all play out, but I do know one thing; we might actually get a class in the Twin Cities metro now since 3M is headquartered here in St. Paul. Plus they have a few buildings here and there in the metro.

Plus, we should remember things like 3M has a pretty big presence at the Michigan NASCAR race and have been really pushing their car-care line. Maybe they will just start pushing Meguiar's now. Plus, I would imagine most of us already use their blue painter's tape. We'll see how this all plays out.

rescuenut10
Sep 11th, 2008, 03:21 AM
I hope the product line dosen't get rationilized like 3m did to the Duramix adhesives after they were purchased.:furious1

ShinyChevy
Sep 11th, 2008, 09:57 AM
However, I found the following in another forum discussing this:

"If you look back over the past 5 years at what Meguiar's has done, you'd see a significant slim-down. They brought all D-line manufacturing in house. They killed products and product lines that didn't have an immediate pay back opportunity. They consolidated all warehousing. Then, finally, they outsourced all manufacturing and internet sales to 3rd party companies. That means they went from nearly 200 employees to about 100, making themselves easier to be snapped up if they could not pay back the debt."



Is this true? Confirmed by anyone at Meguiar's?

PorscheGuy997
Sep 11th, 2008, 10:19 AM
However, I found the following in another forum discussing this:


Which forum did you find this on? Obviously, some find it necessary to bash companies by creating and distributing information that is either false or twisted. Because some like to spread false information, I wish people would start citing their sources.


The plant in Nashville is owned by Mirror Glaze aka Meguiar's.

Piku
Sep 11th, 2008, 10:38 AM
Which forum did you find this on? Obviously, some find it necessary to bash companies by creating and distributing information that is either false or twisted. Because some like to spread false information, I wish people would start citing their sources.


The plant in Nashville is owned by Mirror Glaze aka Meguiar's.

The quote is from DavidB from Autopia forum.
http://www.autopia.org/forum/1172583-post34.html
http://www.autopia.org/forum/autopia-news/111283-3m-buys-meguiar-s-3.html

seth1066
Sep 11th, 2008, 10:43 AM
Which forum did you find this on? Obviously, some find it necessary to bash companies by creating and distributing information that is either false or twisted. Because some like to spread false information, I wish people would start citing their sources.


The plant in Nashville is owned by Mirror Glaze aka Meguiar's. I researched that and couldn't find a working phone number for any of the Meguiar's/Mirror Bright listings in Tennessee although it appears that they did have a plant there at one time.

Piku
Sep 11th, 2008, 11:30 AM
I have been thinking about the 3M acquiring of Meguiar's and I have mixed feelings about it.

I am sad to see this awesome, family owned business for over 100 years, get absorbed into the corporate world. You don't see that many old successful family owned businesses any more.

It seems like Meguiar's in order to continue to grow it needs the backing and the capital that a huge corporation like 3M can provide.

I believe that Meguiar's will be ok. 3M has not become who they are by messing up things that are good. Their instant capital infusion will help Meguiar's continue to grow by introducing other great products as well as expand nationally and globally.

Meguiar's employees will also be alright. 3M is not just buying Meguiar's for its products that they offer, but they are also buying the "brains" at Meguiar's, the intellectual property that Meguiar's has.

And finally, we as customers will also be ok. Maybe some overlapping products will be discontinued, but this is normal everywhere. Prices might go up, but 3M can't just double prices overnight. With 3M infusion of capital, Meguiar's will introduce many more awesome products that we have come to love. Scottwax2

Mike Pennington
Sep 11th, 2008, 11:47 AM
No they don't dilute the sales per employee, they HELP the sales per employee ratio because they are not employees of Meguiars. I think you are missing the point of my reply. Someone stated that they were amazed at Meguiars sales per employee ratio and I stated that such a ratio can look better than it really is if the company outsources some of it works to third companies. I mentioned the plant down in Tennessee that I thought was a third party blender for Meguiars. The Other PC stated that this Tennessee plant is part of Meguiars. However, I found the following in another forum discussing this:

"If you look back over the past 5 years at what Meguiar's has done, you'd see a significant slim-down. They brought all D-line manufacturing in house. They killed products and product lines that didn't have an immediate pay back opportunity. They consolidated all warehousing. Then, finally, they outsourced all manufacturing and internet sales to 3rd party companies. That means they went from nearly 200 employees to about 100, making themselves easier to be snapped up if they could not pay back the debt."

So maybe the Mirror Glaze Franchisee near me is correct that the plant is a third party who Meguiars outsources to not a Meguiars owned plant. I don't know but I know this has gone much further than I intended.


Please don't believe everything you read on other forums. It is unfortunate when others post information that is just not true, and leads people down the wrong path.

________________________________________________________________

We all need to keep in mind what we originally posted under the press release....

"Here are a few points to take away from this announcment...

- Barry Meguiar will continue to lead the company with his PASSION and the legacy of Meguiar’s will continue with even more support for the car hobby & car enthusiast.

- We take our responsibility to the industry very seriously and want to assure you that 3M enthusiastically shares our passion and commitment to innovation, quality and service.

- Our plan moving forward is to continue to support you as we have in the past by providing the same high quality products and service you’ve come to expect.

- Together, Meguiar’s and 3M will deliver a more complete product offering to auto enthusiast, car detailing and professional markets.

- We are excited about our future and look forward to continuing to serve you."

:xyxthumbs

Mike

davey g-force
Sep 11th, 2008, 12:17 PM
^^ I really do hope this is true...

Bert31
Sep 11th, 2008, 12:26 PM
Please don't believe everything you read on other forums. It is unfortunate when others post information that is just not true, and leads people down the wrong path.

Never meant to provide any assurance to the accuracy of the entire statement, particularily the part about Meguiars positioning itself to be sold (apologize if anyone took it that way), only bringing light upon that a small part of the quote agreed with the info that the local Mirror Glaze Frachisee stated a few months ago in regards to the Tennessee plant being a third party. I will place more weight upon my local Mirror Glaze Franchisee states than a post on another forum.

Mike Pennington
Sep 11th, 2008, 12:34 PM
Never meant to provide any assurance to the accuracy of the entire statement, particularily the part about Meguiars positioning itself to be sold (apologize if anyone took it that way), only bringing light upon that a small part of the quote agreed with the info that the local Mirror Glaze Frachisee stated a few months ago in regards to the Tennessee plant being a third party. I will place more weight upon my local Mirror Glaze Franchisee states than a post on another forum.

No offense taken :D

Not sure what a Mirror Glaze Franshisee is ?? We do not have those ? :D

Could they be a re-seller / Dist of our products ?

Mike

Jeepster04
Sep 12th, 2008, 08:40 AM
As I try to digest this I keep coming up with why did Barry sell???? :scratchhead1

Kelly

Seems he wants to expand meguiars.. Hopefully its for the best... :xyxthumbs

Jossy92
Sep 12th, 2008, 09:46 AM
Based on the insightful thoughts in this thread, here's my 2 cents:

I feel grateful that Meguiars selected a good company and I believe it did so not just to survive but to maintain quality and tradition. That takes money. I didn't provide the money, 3M will. Not driven by corporate greed, but by me. My greed to save a few bucks which made it harder to find the products. 3M will help fix that.

IMHO, it's much easier to blame corporate greed, but you don't get what you don't pay for.

Based on some very insightful posts here, I feel Meguiars selected 3M as umbrella not a coffin.

I would like apologize to Meguiars and although it's too late, I now brush my teeth with ScratchX... just to support the company by actually using it's product.

Bert31
Sep 12th, 2008, 09:58 AM
No offense taken :D

Not sure what a Mirror Glaze Franshisee is ?? We do not have those ? :D

Could they be a re-seller / Dist of our products ?

Mike

Well, I guess I always assumed it was a franchise. The store's name is Mirror Glaze. (I can't imagine Meguiars allowing someone to use the Mirror Glaze name unless they were franchised), it has been owned by Paul (I forget his last name) for something like 27 years (atleast I was told he was the owner by several customers), 99% of everything he sells is Meguiar's products (primarily Mirror Glaze and Detailer Brand), he goes to several Meguiars trainings and has lead the training at one or two I believe, and if I am not mistaking, the sign on the front of the building says something about franchise. I don't know, I need some very fine wet sand paper and some Super Degreaser and APC+ so I may swing by Saturday morning and see if I am dreaming up something about the sign saying franchise.

Mike Pennington
Sep 12th, 2008, 10:04 AM
Great :xyxthumbs

The most important point, sounds like he is taking care of you by supplying the right products, service & training :)

Mike

Erik Mejia
Sep 12th, 2008, 12:24 PM
I can't say that I'm not saddened by this news.:cry1:cry1:cry1
I loved the fact that my favorite car care company was a family based tradition, with strong ties to it's customers, and who brought the highest quality products to the masses. I enjoyed, and learned so much from the Meguiar's employees who have as much passion for this hobby as I do. Hopefully the weekend classes, and open garages don't go anywhere. I really enjoy driving out to Irvine and hanging out with others who also share the car passion. I really feel like I made some friends out there. I hope this acquisition won't take away all the fun and excitment which is brought to us by people like the three Mikes.

I guess I won't complain too much, as long as the current and future Meguiar's products continue to uphold the GOLD STANDARD which I have been accustomed to from a company which always has the interests of their customers first. Good luck to all the employees of Meg's, hope to see you all soon.

J. A. Michaels
Sep 12th, 2008, 03:15 PM
I am now one of a open mind. I guess I took the news pretty hard at first. I hope and prayer that all my fears are unfounded. If it is a great deal according to the Meguiars employees I have come to trust over the years. Then I am all for it.

cryogenic419
Sep 13th, 2008, 07:48 AM
It kind of makes sense for a company like 3M to want to aquire Meguiar's. Why compete when you can own or partner them? 3M knows Meg's has a dedicated following of enthusiasts. If I'm not mistaken, 3M makes some body shop items and only a small handful of consumer type items. They don't seem to cover the entire spectrum from prepping to painting to detailing and basic washing waxing. This is where Meguiar's comes into play. A successful company evaluates the market and their product line and sees a giant hole, they try to fill that void.

Sure both companies may make some similar products, but you need to take into account brand loyalty. Say both 3M and Meg's both make their own version of "magic polishing goo x" but both versions sell extremely well. If its making money why mess with a good thing?

On the flipside though some companies figure consolidate and keep the cash rolling in either way. For some of these duplicate products I can see them evaluating which one sells more, which one has a higher profit margin and going with that. I could be wrong and only the head honchos really know what the plans are.

This merger/aquisition could be extremely beneficial for both companies. I am sure they both use similiar chemicals and components in their products. Together they have more purchasing power. What about R&D? Meg's has some talented people working for them as does 3M. Together the amount of research dollars and technology at their disposal could elevate car care to a whole new level.

Some things I can realistically see happening. Meg's products maintaining their brand identity, but a 3M logo somewhere on the bottle or packaging.
Probably combined warehousing for all their products as well as shipping. Cross company product development. We all love and use that blue painters tape, would it be so shocking if they came out with a tape specifically geared towards auto detailing?

I am hopeful the only changes we'll see are for the better.

mb911
Sep 14th, 2008, 05:25 PM
Wow. I somehow missed this until today. How sad. I had such a great love affair with Meguiar's products the past year. Why when I finally discover the best this happens?

I know I sound like I'm being a jerk and everything, but it was so amazing how this company had survived. I have spent over $1,000 in the past year on Meguiar's as just a regular consumer, and I was so proud to spend every dollar of it.

It sure is scary to think about the more distant future.

chessplayer
Sep 15th, 2008, 12:09 AM
i hope all work out well for thee employees as well for the consumer

mb911
Sep 15th, 2008, 09:33 PM
I'm really still in disbelief myself. To have survived as long as it did on its own, it's so sad it had to end now. I wrote one of the bosses at 3m division that is taking over. He wrote me back and claimed they know how important what Meguiar's does is, but still. There is just other factors, when someone else owns you in my opinion.

ih8civx
Sep 15th, 2008, 11:27 PM
Im worried..

angeloabbattista
Sep 16th, 2008, 06:40 AM
Well if it's anything like 3M in Australia we're in trouble. For the last three years whenever you click on this Australia 3M Automotive Catalogue (http://products3.3m.com/catalog/au/en005/auto_marine/automotive/node_G96CJLDRQ9ge/root_D58K9TX3VWgv/vroot_G96CJLDRQ9ge/theme_au_aad_3_0/command_AbcPageHandler/output_htm) you get the same apology page.
I called 3M customer service and advised that was happening and was advised the site was being updated and you be finished shortly. 3 years on and it's still the same :confused: ..... you reckon I'm worried :hm1

Also to add to this 3M Customer service took my details and assured me they would send out the hardcopy version of the catalogue............. still waiting, Now I know the postal service can be a bit slow but 3 years :pullhair1

davey g-force
Sep 16th, 2008, 12:40 PM
^^Wow, that really IS a worry... :nervous1

Bert31
Sep 16th, 2008, 04:02 PM
No offense taken :D

Not sure what a Mirror Glaze Franshisee is ?? We do not have those ? :D

Could they be a re-seller / Dist of our products ?

Mike

Actually, you are correct, he is a distributor, not a franchise. However, if you were to look at the sign above the door, you could see how it could be mistaken for a corporate owned or franchised store, it is something like this:

B&H Distributors, Proud Distributors of

MIRROR GLAZE

Unless you walk right up to the door, you cannot even see the B&H Distributors..... part, it is tiny. You can see the MIRROR GLAZE part a block down the street though:D. I asked the owner about it and he said originally the store was called Mirror Glaze Distributors but back in the mid 70's Meguiars asked him to chage the name which is understandable.

Pocket_Aces
Sep 24th, 2008, 12:56 PM
I just heard of this today. I am surprise how far Meguiar's has come to actually be enough "competition" for 3M to take note and put out the money to incorporate them. Again I hope there isn't much change to Meguiar's, its employees or this site. Only time will tell though. I can say though I do like 3M's quality and I use alot of their products.

boogiejoe
Sep 26th, 2008, 12:16 PM
Not all mergers are bad. In fact there are a lot of mergers that you never hear about and nothing ever changes. Example: Whirlpool, Kitchen Aid, Jenn Air, and I think Maytag are all the same company now. Electrolux owns Frigidaire. So just because a small company is bought out, it doesn't mean bad things are going to happen. I own a little bit of 3M stock so I get their annual report, plus I have read articles about them in magazines like Fortune and Forbes and they seem to be a pretty solid company. They are big into R&D and in the past, I don't know about now, required their engineers to spend at least 8 hours a week working on developing new products. This could be on an individual basis or as a team effort. So hopefully this will continue at Meguiar's and things will only get better. Besides, since I am a stock holder maybe I can get a discount on Meg's products. :chuckle1

Dave

In this buyout Hoover, which was bought out by Maytag earlier, had to close down operations completely. They moved everything away to the new headquarters. Hoover was a company much like Meguiar's. It was a large local business with a huge interest in the community. It is now closed and all of the jobs have been taken away. The company was about 100 years old, but none of that matters now.
Business is business, nothing else. If you take a personal interest in a company you will only be disappointed. It's the price of progress sometimes. Meguiar's will slowly fade away just like the others before.
I'm sitting in a building that was one of the largest rubber manufacturers in the world. Now it is a massive complex of empty warehouses converted into office space.

Anybody remember Oakland or Fisher? I hope the current employees are protected without suffering any job loss.

seth1066
Sep 26th, 2008, 07:25 PM
In this buyout Hoover, which was bought out by Maytag earlier, had to close down operations completely. They moved everything away to the new headquarters. Hoover was a company much like Meguiar's. It was a large local business with a huge interest in the community. It is now closed and all of the jobs have been taken away. The company was about 100 years old, but none of that matters now.
Business is business, nothing else. If you take a personal interest in a company you will only be disappointed. It's the price of progress sometimes. Meguiar's will slowly fade away just like the others before.
I'm sitting in a building that was one of the largest rubber manufacturers in the world. Now it is a massive complex of empty warehouses converted into office space.

Anybody remember Oakland or Fisher? I hope the current employees are protected without suffering any job loss.Hoover hasn't quite faded away; from their website:

"Today, Hoover is part of TTI Floor Care North America, headquartered in Glenwillow, OH. As a leader in the floor-care industry, Hoover manufactures quality, high-performance vacuum cleaners for home and commercial settings."

"Hoover has manufacturing operations in North Canton, Ohio, in El Paso, Texas, and in Juarez, Mexico, and administrative offices in Newton, Iowa."

BTW, part of TTI's family makes a rather nice polisher (Milwaukee).

hotrodpt
Sep 29th, 2008, 12:10 PM
I am sorry to see my favorite company go from family owned to big-time Corporate America owned. It was probably inevitable, but I trust Meguiar's scientists a whole lot more to make the BEST products instead of a large corporation who is run by bean counters. I have a Meguiar's banner in my garage, and lots of product in my cabinets. I have a BLACK pickup that keeps its shine thanks to NXT. NXT is the greatest. Please don't change a thing, 3M, unless its an improvement by Meguiar's chemists, not 3M's.

Alfisti
Sep 30th, 2008, 01:07 AM
Please don't change a thing, 3M, unless its an improvement by Meguiar's chemists, not 3M's.
I second that!

Wilco
Nov 3rd, 2008, 11:10 PM
Look guys, for those worried, read this:
ocregister.com/articles/meguiar-car-company-2197526-crazy-product
(JUST ADD www. before the link above and paste it into your browser!!) -Mark Kleis


We can worry all we want, we can predict doubts and/or favourable times ahead, however, what we cant predict is God's will.

so lets end it at; this is something Barry and his team have always been waiting for. Now i dont mean to be a bible basher here, or want to cause any heated forum discussions, but these are the facts;


Meguiar runs his company on Proverbs 3: 5-6, "Trust in the Lord with all your heart and don't lean on your own understanding. In all your ways acknowledge Him and He will direct your paths."

thats exactly what happened with the 3M & Meguiar's deal, and we should be overjoyed by this outcome, not in commotion. 3M have been watching Meguiar's for 10years, and hey, awesome Barry is still the same Barry we know - President and CEO of his (and our's) beloved family company.

and plus, im getting excited to see the logistics of meguiar's products improve. im in australia and yes, im one of those car crazy dudes that pay $50 a bottle as mentioned in the article. Thus with this fact, meguiar's can only move forward in their global market of automotive products.

God Bless Barry Meguiar and his company, may you achieve many more milestones and successes at an international level.

gb387
Nov 4th, 2008, 05:06 AM
I'm kind of saddened by this announcement. :(

I am as well but we will have to see how things work out!
:xyxthumbs

CharlesW
Nov 4th, 2008, 05:09 AM
I am as well but we will have to see how things work out!
:xyxthumbsGiven the new products being introduced for 2009, I think your concerns may be unfounded.
It looks like 3M plans to continue the Meguiar's tradition. :xyxthumbs

seth1066
Nov 4th, 2008, 08:58 AM
Look guys, for those worried, read this:
ocregister.com/articles/meguiar-car-company-2197526-crazy-product
(JUST ADD www. before the link above and paste it into your browser!!) -Mark KleisFor the Doom & Gloom crowd, I think this quote from the article should help::

"[Barry] Meguiar is to remain president with a long-term contract and change nothing about the way the company makes, markets or sells its products. All 120 employees keep their jobs."

Mike Phillips
Nov 4th, 2008, 09:13 AM
My recent favorite is...

"fear not"

Found a guy saying this in an old book...

:)

davey g-force
Nov 4th, 2008, 12:18 PM
Nice find Wilco :xyxthumbs

That's put my mind at ease along with (I dare say) many others here...

gb387
Nov 4th, 2008, 01:56 PM
Wilco that is a good link to read, makes me feel better about the whole thing. Good to see it wasn't selling just to sell there was a reason behind it and thought put into it. Makes sense!!

Wilco
Nov 4th, 2008, 06:57 PM
Meguiar's serves as consultant to most of the major carmakers around the world on paint quality and paint correction issues in their assembly plants and at the dealership level. In addition, Meguiar's often provides private label appearance car care products to car manufacturers to sell under their own name through their dealership parts departments.LOL
Anyone know who those carmakers are?

BigJoe09
Nov 4th, 2008, 09:42 PM
LOL
Anyone who those carmakers are?

Mercedes-Benz was one company that used to do that.

Mike Phillips
Nov 4th, 2008, 10:08 PM
LOL
Anyone who those carmakers are?

:scratchhead1

Wilco
Nov 5th, 2008, 02:08 AM
:scratchhead1
hehe
meant to say
"anyone know who those car markers car?"

:wavey

seth1066
Nov 5th, 2008, 04:46 AM
hehe
meant to say
"anyone know who those car markers car?"I'm guessing the head scratch was, and I have the same question, what's the seemingly derisive "lol" for?

Michael Stoops
Jan 22nd, 2009, 10:15 PM
Let's dig out positive merger/partnership/acquirement examples where the buyee came out as overall winner or markedly improved company!

Other than that, I'm proud that I knew the true Meg's - but now something is irrepearably went wrong and lost.

I liken Meguiar's acquisition by 3M to Ferrari's acquisition by Fiat. Ferrari has become a much, much stronger company catering to high end automotive enthusiasts, are able to bring better cars to market faster and have seen profits rise enormously. And you don't find the switchgear from a Fiat Panda in a 599 GTB Fiorano or suspension parts from a Fiat 500 in a 430 Scuderia.

There are actually times when one company purchases another without killing it. 3M owns several smaller organizations that continue to operate as they did pre-acquisition, except they have been made stronger due to their relationship with 3M.

Nappers
Jan 22nd, 2009, 10:29 PM
I actually forgot that the merger took place as it seems that it's status quo for Meguiar's.....

That is until I got my recent Hot Rod and they mentioned the merger in their news section.

I'm at work but if memory serves, it was a decent article.

I think 3M will benefit from having Meguiar's chemists.... more so than Meguiar's having the rescources that 3M has.

im4cruisn
Jan 23rd, 2009, 07:49 AM
I've been watching this and am glad that Meguiar's is staying true to it's customer base. Thanks Meguiar's!!!! :woot2

I happen to LOVE both products, 3M and Meguiar's and will continue to support both of them...I really wouldn't want to think about the auto industry without either! :awman1

Zach W.
Jan 23rd, 2009, 08:34 AM
...I really wouldn't want to think about the auto industry without either! :awman1

:iagree:

But, luckily, it looks like we are going to be able to have our wax, and use it too... Or in other words, it looks as if they will stay seperate companys, just with a larger wallet for R & D!!!

rndy101
Jan 25th, 2009, 04:31 PM
I hope the great products stay the same.

MnMDetailing
Feb 11th, 2009, 12:08 PM
hmmmm ... im still on the fence about this.....i lived in irvine for years ,near the spectrum ....and i would hate to see Meguiars move ,and leave the O.C area ...thats the attraction for me ,nothing like buying locally

asim_296
Feb 11th, 2009, 06:35 PM
Congrats.

hope better future for both companies. That's imazing.

miahjohn
Feb 19th, 2009, 08:37 PM
What's been happening since this? any new changes or anything else to to report? I'm sure anything important would have been posted but what can you tell us now!?!?!?:nervous1

3Fitty
Feb 19th, 2009, 08:42 PM
What's been happening since this? any new changes or anything else to to report? I'm sure anything important would have been posted but what can you tell us now!?!?!?:nervous1

I think they're building the death star. :nervous1

Mike Pennington
Feb 20th, 2009, 08:16 AM
What's been happening since this? any new changes or anything else to to report? I'm sure anything important would have been posted but what can you tell us now!?!?!?:nervous1

Business as usual :xyxthumbs

Nappers
Feb 20th, 2009, 10:11 AM
I think they're building the death star. :nervous1

Now to photoshop a deathstar with Meguiar's logo.....

LOL :D

Megafast13
Feb 20th, 2009, 04:30 PM
I doubt this is good News :(

Andy M.
Feb 20th, 2009, 04:34 PM
I doubt this is good News :(


Just to note, this thread was started on Sep 8th, 2008,
since then it has been business as usual for Meguiars. No Worries Mate!Scottwax3

Andy M.

Deaner5
Feb 20th, 2009, 06:08 PM
Now if they could just hold a detailing class in St. Paul, maybe at a 3M factory or warehouse somewhere.

WrightDetail
Mar 6th, 2009, 03:31 AM
WOW just read the thread...

Well in all takeovers there is the good and the bad

AB Beer was a greed sell to INBEV since stockholders had not seen $ 70 a share for their beer, so they sold out, and now INBEV has stopped free beer samples at their theme parks....soon the parks will be sold and they have laid off over 1k in St Louis....

Hopefully this will be great for Meguiars - as long as they dont mess with what isnt broke !

Nappers
Mar 6th, 2009, 07:46 AM
The only Evidence of the merge is a screen shot that Ryan L. got of loading MOL on a 3M server :D

Other than that, the open garages, MOL, good products keep on trucking.

Bert31
Mar 6th, 2009, 12:16 PM
Hopefully this will be great for Meguiars - as long as they dont mess with what isnt broke !

Basically it will come down to how well Meguiars performs and contributes to 3M's earnings. So long as Meg's earning are good, 3M probably won't mess around too much. Should Meg's earnings not keep up with 3M's other lines, we may see elimination of certain products or combination with 3M products.

ffboy
Oct 29th, 2010, 02:49 AM
i'm really not worried about it, i don't think 3m will "influence" any or all existing car waxes/compounds/polish or everything else. Its not gonna be an issue of reformulating everything megs made just because 3m acquired megs.. I believe 3m won't touch or at most evaluate the existing products. It'll cost alot to do that.. Maybe when meguiars plans to release any new or reformulated wax, etc, thats when 3m may influence the formulations. who knows? maybe with 3m, another tech wax with 3m technology too! Meguiars tech wax 4.0? Wipe-on, wipe-off?

I'd look at it this way: At least the acquisition will be from a company whose products are also in line with meguiars... car waxes, compounds, cleaners, etc. In line with meguiars.. However, if the aquisition is from a totally different company.. well.. Imagine garnier or calvin klein?!! then i would get worried..

DetailFreak517
Oct 29th, 2010, 01:17 PM
i'm really not worried about it, i don't think 3m will "influence" any or all existing car waxes/compounds/polish or everything else.

I'd look at it this way: At least the acquisition will be from a company whose products are also in line with meguiars...

Actually there's no "will be" to it.... this happened two years ago.

:wavey

ffboy
Oct 30th, 2010, 06:34 AM
good... the news keeps getting better! I'm not exactly a loyal meguiars user.. i actually use mothers or have used mothers products, but i also have used other meguiars products. Honestly, i've only used swirlX (very easy to use!) and the deep crystal carnauba wax. i only became a real wax nut late last year and it just happened that i began with mothers. I just switch from one to another at different times. 2 good wax manufacturers. I am happier that the so-called acquisition hasn't occured yet.

I must say i am happy with NXT 2.0 wax. I do have a deeper knowledge about synthetic polymer waxes so i know now how to do it right. I've done a side by side comparo between FX liquid and NXT paste.. Maybe because its a paste, but nxt has a tiny edge on black paint. FX is brighter but i have to get the paste to get a fairer comparison. These 2 are too close to call in my opinion.. 2 great easy to use products!

Shootist
Nov 30th, 2010, 09:17 AM
Realizing this occurred 2 years ago, thought I'd throw in my experience with 3M.
My brother worked for them back in the '80s and wished he still did. They are a very innovative company which encourages rabid R&D.
They tend to promote from within...many division heads came up through the ranks and are engineers, chemists, etc.
Each division is it's own entity and pretty much stands on it's own but expected to turn a respectable profit. I forget the actual percentage, but they will quickly dump a product line if it's not doing well.
Yes, they are a huge corporation, but tend not to let themselves be run by people who don't understand the nuts and bolts of the business, i.e., "bean counters".
And yes, Scotch Guard and Post-it Notes were accidental discoveries which turned out to be huge successes.
Also, don't forget their core business is abrasives...which ultimately leads to shine which is what Meguiars is all about!