Carnegie, Pennsylvania-based Ampco-Pittsburgh Corporation, a specialty steel manufacturer, continues to execute its restructuring plan under its recently (July 2018) named CEO J. Brett McBrayer. As part of that restructuring, the company has decided to divest its cast roll manufacturing facility located in Avonmore, Pennsylvania resulting in layoffs for 119 employees and the closure of the facility. The facility will be sold to an affiliate of Pittsburgh, Pennsylvania-based WHEMCO, a world-wide supplier of heavy industrial components involving the melting, casting, forging, heat treating and machining of metals.
McBrayer noted, "Excess capacity and high operating costs in our cast roll system have made operation of the Avonmore facility untenable. We expect both actions to improve our operating results from continuing operations by approximately $1 million per month on a full run-rate basis, once the sale is complete."
This is the second divestment in the restructuring process. The first divestment was the sale of the Vertical Seal division of Akers National Roll Co., an indirect subsidiary to Roser Technologies. At the time, McBreyer explained, “This transaction marks the first step in a succession of actions we are taking to realign our manufacturing footprint for long-term success. Many of our forthcoming actions are in process. Due to the significance of the restructuring initiatives, we currently expect that our first round of actions may not fully conclude until the second half of 2019. Our plan is to build upon our existing strengths, focusing on our core businesses and solidifying our position in the markets we serve."
Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life, or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere ... are you now wondering, Am I Next?