Subsidiaries of The Timken Company (USA) and SKF AB (Sweden) in Brazil have entered into a joint venture to supply forged rings for bearings. The venture, called International Components Supply, Limitada, will be equally owned by Timken do Brasil and SKF do Brasil.

ICS will acquire SKF's machining facility located within the SKF do Brasil bearing plant in Cajamar, Sao Paulo. It is set to be up and running early in 2001 and expects 2001 captive sales of approximately USD $13 million.

Timken now outsources some rings, as well as manufacturing them in a small operation in Brazil. The Brazilian operation will be closed.

Russ Pender, President of Timken do Brazil said, "This sort of cooperative effort with a competitor offers efficiencies for both companies, while allowing each to produce differentiated products independently. Each of us will still supply raw material to our specifications. And, this machining process has no impact on the design, geometry, or finish of our products - the elements that differentiate our bearings."