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holding firm buys ITI

New Jersey-based
holding firm buys ITI

Ownership at Information Transfer Inc. has changed hands.
Former ITI president David Hessler and his partners sold the Bloomfield-based business in April. Specific terms of the deal were not disclosed, though Hessler said it was primarily a cash transaction.
The former owners also signed a three- year non-compete agreement, he said.
Hessler and his partners–Gerald Wilmot Sr., Gerald Wilmot Jr. and Matthew Tubinis–began looking for a buyer last fall, Hessler said. Tubinis passed away in March.
The new owner is Wireless Communication Technologies Inc., a holding company based in Ridgewood, N.J. Other Wireless holdings include manufacturing and engineering firms in the telecommunications industry.
ITI’s new president is William O’Keefe. He could not be reached for comment.
Founded in 1971, ITI makes remote-control switching equipment and other electronic devices for voice and data communications.
Sales total in the $2 million range, Hessler said.
ITI’s large, customized systems typically carry hefty price tags. One of the firm’s largest switching systems was sold to the U.S. Navy for $800,000 three years ago.
In 1994, defense contracts like this accounted for some 70 percent of total revenues. By 1995, defense and commercial work had edged closer to a 50/50 split, Hessler said.
The firm stepped up its commercial business with the 1993 purchase of A.D. Data Systems, formerly owned by PSC Inc. of Webster.
A.D. Data makes standardized, lower-cost switches that commercial customers can order off the shelf.
According to PSC’s 1993 annual report, revenues from A.D. Data were $838,000 that year, a 25 percent drop from the previous year. Sales for that unit had declined in 1992 and 1991 as well, the report stated.
In 1993, ITI received a seven-year, low-interest loan of $150,000 from the Ontario County Office of Economic Development– part of a $442,000 financing package–to help fund the purchase of A.D. Data. The new owner has assumed the outstanding loan, Hessler said.
According to county documents, the loan was intended to help preserve 30 jobs at ITI and add an additional 13 full-time jobs over three years.
Now, however, the firm employs roughly 25 workers.
Although Hessler had hoped to see the business grow larger, he said 1995 was one of the best years in recent history.
“We left a large order backlog for ’96,” he said.
Hessler and his partners retain the title of the land and two buildings where ITI is housed. ITI plans to consolidate operations into the larger of those buildings.
Hessler hopes to lease or sell the other 6,000-square-foot building.
ITI makes remote- control switching equipment and other electronic devices for voice and data communications.

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