Ampco-Pittsburgh Completes Sale of North American Cast Roll Operations
October 01 2019 - 7:21AM
Business Wire
Ampco-Pittsburgh Corporation (NYSE:AP) today announced it
completed the sale of its Avonmore, Pennsylvania cast roll
manufacturing facility, Akers National Roll, to an affiliate of
WHEMCO, Inc. The execution of the purchase agreement was previously
announced on May 10, 2019.
The Corporation continues to expect this divestiture will
improve its results from continuing operations by approximately
$9.0 to $10.0 million annually.
“As previously discussed, excess capacity and high operating
costs in our cast roll system have made the operation of the
Avonmore facility unsustainable,” said Brett McBrayer,
Ampco-Pittsburgh’s Chief Executive Officer. “With the closing of
this transaction, the divestiture of our Canadian specialty steel
operations, as announced yesterday, and further improvement
initiatives being implemented in our businesses, we expect a
significant impact on our future financial results moving forward.
The Corporation remains focused and committed to building a
sustainable and profitable future for our core businesses.”
About Ampco-Pittsburgh Corporation Ampco-Pittsburgh
Corporation, through its operating subsidiary, Union Electric Steel
Corporation, is a leading producer of forged and cast rolls for the
worldwide steel and aluminum industries, as well as ingot and open
die forged products for the oil and gas, aluminum, and plastic
extrusion industries. Ampco-Pittsburgh is also a producer of air
and liquid processing equipment, primarily custom-engineered finned
tube heat exchange coils, large custom air handling systems and
centrifugal pumps. The Corporation operates manufacturing
facilities in the United States, United Kingdom, Sweden, Slovenia,
and China. Sales offices are located in North and South America,
Asia, Europe, and the Middle East. Corporate headquarters is
located in Carnegie, Pennsylvania.
About WHEMCO WHEMCO, through its six operating companies,
is a worldwide supplier of heavy industrial components for the
metals, power generation, mining, and shipbuilding industries.
Their core competencies include melting, casting, forging,
heat-treating and machining.
The Private Securities Litigation Reform Act of 1995 provides a
safe harbor for forward-looking statements made by or on our
behalf. This news release may contain forward-looking statements
that reflect our current views with respect to future events and
financial performance. Actual results may vary significantly from
the Corporation’s expectations based on a number of risks and
uncertainties, including, but not limited to, the following:
cyclical demand for products and economic downturns may reduce
demand for the Corporation’s products; excess global capacity in
the steel industry could lower prices for the Corporation’s
products; economic or other factors may reduce the level of the
Corporation’s export sales; the Corporation’s profitability could
be reduced by increases in commodity prices or shortages of key
production materials; a work stoppage or similar industrial action
could disrupt the Corporation’s operations; currency fluctuations;
and proposed divestitures and restructuring activities of the
Corporation may generate greater expenses or losses or lower
savings than currently anticipated. Forward-looking statements
speak only as of the date on which such statements are made, are
not guarantees of future performance or expectations, and involve
risks and uncertainties. The Corporation cannot guarantee any
future results, levels of activity, performance or achievements.
Except as required by applicable law, the Corporation assumes no
obligation, and disclaims any obligation, to update forward-looking
statements whether as a result of new information, events or
otherwise.
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version on businesswire.com: https://www.businesswire.com/news/home/20191001005650/en/
Melanie L. Sprowson Director, Investor Relations 412-429-2454
msprowson@ampcopgh.com
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