ALUMAX TO SELL CERTAIN OF ITS FABRICATED PRODUCTS BUSINESSES IN EUROPE AND THE UNITED STATES.NORCROSS, Ga.--(BUSINESS WIRE)--June 27, 1996--Alumax Inc. (NYSE NYSE See: New York Stock Exchange : AMX AMX American Motors Experimental AMX Aeromexico Aerovias de Mexico (ICAO code) AMX Air Mobility Express AMX Amberjacks (FAO fish species code) AMX Alabama Motor eXpress ; Toronto: AXI AXI Automated X-Ray Inspection (electronics) AXI Association Xpertise Inc (Calgary, AB, Canada) AXI Ada to X-Window System Interface ) today announced that it has signed a definitive agreement for the sale to Euramax International, Ltd. of certain of Alumax's Fabricated Products businesses in Western Europe Western Europe The countries of western Europe, especially those that are allied with the United States and Canada in the North Atlantic Treaty Organization (established 1949 and usually known as NATO). and in the United States. The sale will not include any Kawneer architectural aluminum operations in Europe or the United States, nor will it include Alumax Magnolia Division in the United States. Alumax confirmed that it has agreed to sell the businesses for $245 million. The purchase price is subject to adjustment for working capital changes occurring since December 31, 1995. Closing, which is subject to various customary conditions, is expected to occur by September 1996. The sale will include a group of five companies in Western Europe which focuses on coil coating and fabricating aluminum and steel coils. Other products include steel and aluminum entry doors, recreational vehicle components, composite panels, vehicle components such as seat rails and sunroof frames, and windows for modular construction. These European companies, which serve the recreational vehicle, home center, home improvement, residential construction and various original equipment manufacturers markets, operate two plants in the United Kingdom, two in France and one in The Netherlands. The sale will also include more than 30 plants and service centers throughout the United States operated by Alumax Fabricated Products, Inc. Products produced and marketed by these operations include rain carrying systems, roofing and roofing accessories, siding, appliance trims, steel entry doors, vinyl windows and numerous recreational vehicle components. The businesses to be sold have total annual sales of approximately $500 million and employ approximately 2,100 people. The group is a leader in aluminum and steel coil coating and fabricating in Europe and the United States. It is strong in value-added products for the residential remodeling remodeling /re·mod·el·ing/ (re-mod´el-ing) reorganization or renovation of an old structure. bone remodeling and new construction markets and is an established leader in the large and growing do-it-yourself market. The divestiture will provide an opportunity for these businesses to grow and prosper and will give Alumax Inc. an opportunity to redeploy re·de·ploy tr.v. re·de·ployed, re·de·ploy·ing, re·de·ploys 1. To move (military forces) from one combat zone to another. 2. resources to further develop its core business, which is in keeping with the company's strategic direction. The businesses sold to Euramax International, Ltd. in Europe include: Alumax Ellbee Limited and Alumax Coated Products U.K. Limited in England; Alumax Coated Products B.V. in The Netherlands; and Alumax Coated Products S.A. and Alumax Industries S.A. in France. The businesses sold to Euramax International, Ltd. in North America include: Alumax Appliance and Specialty Products, Inc., Alumax Building Products, Inc., Alumax Coated Products, Inc., Alumax Door Products, Inc., and Alumax Home Products Division. Alumax Inc. is a world leader in aluminum with year-end 1995 assets of more than $3.1 billion and 1995 revenues of more than $2.9 billion. The company produces and markets primary aluminum ingot ingot Mass of metal cast into a size and shape such as a bar, plate, or sheet convenient to store, transport, and work into a semifinished or finished product. The term also refers to a mold in which metal is so cast. , billet and slab and is a major fabricator of value-added aluminum products for the building and construction, transportation, packaging and consumer durables Consumer durables Consumer products that are expected to last three years or more, such as an automobile or a home appliance. consumer durables See durable goods. industries. Euramax International, Ltd. is a new company incorporated under the laws of England and Wales England and Wales are both constituent countries of the United Kingdom, that together share a single legal system: English law. Legislatively, England and Wales are treated as a single unit (see State (law)) for the conflict of laws. by CVC See CSC. European Equity Partners, L.P. and certain Citicorp entities. CONTACT: Alumax Thomas R. Hagley (Media) 770/246-6642 Fax: 770/246-6691 or R. Daniel Loh (Investors) 770/246-6752 Fax: 770/246-6691 |
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