Materion Corp (MTRN)

[Watts Watt]

Eutectix, which manufactures liquidmetal formulae for Materion, is a supplier as well for LQMT, which formerly subcontracted the mfr of liquidmetal to Materion. Eutectix is able to manufacture a much larger quantity of bmg and is much more productive in doing so than Materion. Pure economics drove the spin-off of the Materion operation to Eutectix, along with two of their key people.

It is important to understand that Eutectix has no intention of going upstream into the products business. They are merely holding onto Liquidmetals recently transferred equipment and machinery for safekeeping. Such machinery and equipment remain on LQMT's books. Eutectix is not paying them squat for any of the old LF plant's contents. They will not become a sub-contract mfr for LQMT. They will retain the same relationship of vendor that Materion has with them.