FIRMS JOIN TO MAKE WHEELS.Byline: Gregory J. Wilcox Wilcox may refer to: Place names in the United States
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Superior Industries International Inc., the big Van Nuys-based wheel manufacturer, and Alcoa Alcoa U.S. company, the world's largest producer of aluminum. Established in Pittsburgh, Pa., in 1888, it adopted the name Aluminum Co. of America in 1907. Alcoa introduced aluminum foil in 1910 and found uses for aluminum in the emerging aviation and automobile industries. are forming a new company that will try to make inroads inroads Noun, pl make inroads into to start affecting or reducing: my gambling has made great inroads into my savings inroads npl to make inroads into [+ into the big-rig truck market. The venture will produce cast aluminum wheels for commercial trucks and buses. The wheels will be lighter and less expensive than the forged forge 1 n. 1. A furnace or hearth where metals are heated or wrought; a smithy. 2. A workshop where pig iron is transformed into wrought iron. v. aluminum wheels typically found in these vehicles, said Alcoa spokesman Al Posti Posti or Posten (Finland) (in full Itella Oyj Abp) is the Finnish state-owned postal service. It has been organised as a public limited company since 2001, and is owned entirely by the Finnish government. . Alcoa is the world's largest aluminum producer. The Pittsburgh, Pa.-based company manufactures a line of forged wheels for trucks and buses and will sell the new products through its sales organization. The new line initially will be produced at Superior's Van Nuys plant and bring an increase in the company's 3,000-person work force. But it is too soon to say how many positions will be added, said Jeff Ornstein, the company's chief financial officer. The new company is a 50-50 partnership that will operate under its own name, which will be selected later, he said. Commercial production is expected to start before year's end. Alcoa and Superior have been collaborating on development of the new wheel line since 1993 and have invested about $2 million in the project. Analyst James M. Irwin at Goldman Sachs The Goldman Sachs Group, Inc., or simply Goldman Sachs (NYSE: GS) is one of the world's largest global investment banks. Goldman Sachs was founded in 1869, and is headquartered in the Lower Manhattan area of New York City at 85 Broad Street. said it's a logical combination for both companies. "It's a good extension of their core businesses. I look at it positively," he said. "I don't expect it to be a big contributor to earnings near-term, but long-term Long-term Three or more years. In the context of accounting, more than 1 year. long-term 1. Of or relating to a gain or loss in the value of a security that has been held over a specific length of time. Compare short-term. it could be quite promising." Superior caters to the automobile and light truck market and supplies original equipment wheels to most of the major domestic and Japanese manufacturers. There are roughly 15 million new cars and light trucks produced annually, and 45 percent of them are shipped with cast aluminum wheels. Superior serves roughly 40 percent of that market. Heavy duty vehicles are a much smaller market, with annual production of about 250,000 units. But Superior's Ornstein notes that cast aluminum wheels for this market will carry a higher unit price and profit margin than those for cars and light trucks. |
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