Intermet announces plans to close Havana Foundry.Intermet Corp., Troy, Mich., announced plans to close its Havana Foundry, Havana, Ill., during the second quarter of this year. According to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. the firm, closure is necessary to rationalize excess production capacity and reduce costs. The facility currently employs 205 people and manufactures ductile iron Ductile iron, also called ductile cast iron or nodular cast iron, is a type of cast iron invented in 1943 by Keith Millis[1]. While most varieties of cast iron are brittle, ductile iron is much more ductile, as the name implies. castings for the automotive industry The automotive industry is the industry involved in the design, development, manufacture, marketing, and sale of motor vehicles. In 2006, more than 69 million motor vehicles, including cars and commercial vehicles were produced worldwide. . "This has been a difficult but necessary decision for the company and we regret the effect it will have on our employees," said Gary Ruff, president and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Intermet. "Based on studies conducted on the Havana plant and other Intermet foundries during the past year, we determined that this was the most effective course of action to better align our available capacity with the market, and make our overall ferrous-foundry cost structure more competitive. Havana Foundry had sales of $26 million in 2003. Intermet expects to retain all of the foundry's revenue and consolidate the plant's equipment and products into other existing Intermet foundries. "The closure is a result of an industry-wide overcapacity situation and is not a reflection on the workforce or management team in Havana," said Todd Heavin, vice president of ferrous metals operations at Intermet. "In fact, the plant has demonstrated continuous improvement operationally and is consistently meeting customer quality and delivery requirements The stipulation that requires that an item of materiel must be delivered in the total quantity required by the date required. . However, there is an immediate need to reduce the number of our U.S. ferrous casting facilities to improve capacity utilization Capacity Utilization measures the rate at which a firm makes use of their capital productive capacities, such as factories and machinery. Capacity Utilization generally rises when the economy is healthy and falls when demand softens. and optimize the performance of our ductile iron foundry group. |
|
||||||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion