Newcor names Exx chairman to its board

BLOOMFIELD HILLS, Mich. (Feb. 16)—Newcor Inc. has appointed David A. Segal, the chairman of Las Vegas toy and electronics manufacturer Exx Inc., to its board of directors. Segal is the beneficial owner of 17.5 percent of Newcor´s common shares. Newcor´s board approved adding two seats to accommodate Segal´s position and one other director to be nominated by Exx. As part of its decision to seat Segal on the board, Newcor has agreed to amend its stockholders rights plan to allow Exx to increase its holdings in the rubber and plastics parts maker to 23.5 percent by the end of this year. Thereafter, Exx and Segal will be allowed to acquire 4 percent of additional stock bringing total holdings to 27.5 percent by the end of 2004, and another 2.5 percent following that for a total stake in Newcor of 30 percent. For its part, Exx has agreed not to pursue a proxy contest related to gaining control of Newcor through the end of 2003. Exx has been attempting to gain management control of Newcor for the past year.