A worldwide, diversified manufacturer of complex metal components and products
Precision Castparts Corp. (PCP) became a publicly traded company in 1968 and was listed on the New York Stock Exchange in 1989. At the present time, of the approximately 144 million shares outstanding, more than 95 percent is institutionally owned.
Precision Castparts Corp. Expands Forging Capabilities with Acquisition of Tru-Form Rings Operations
PORTLAND, Oregon – June 14, 2011 – Precision Castparts Corp. (NYSE:PCP) has agreed to acquire the rings operations of Unison Engine Components (Tru-Form) from GE Aviation, an operating unit of GE.
Tru-Form is a leader in the manufacture of flash-welded and cold-rolled rings for jet engine and gas turbine applications, including spacer rings, combustion casings and liners, LPT casings, and fan cases. The innovative Tru-Form cold-rolling process produces a near-net-shaped part from a flash-welded ring, reducing material and machining costs and enabling the production of more complex part shapes. Tru-Form employs approximately 275 people across its three locations in Wilkes-Barre and Mountaintop, Pennsylvania, and Tyseley, England.
“Tru-Form broadens our forged product range, adding flash-welded and cold-rolled rings to our portfolio,” said Mark Donegan, chairman and chief executive officer of Precision Castparts Corp. (PCC). “Tru-Form, which supplies all major engine OEMs, has exposure to every major commercial aircraft in production today. We have pursued this transaction with GE for over a year and are excited to bring these operations into the PCC family.”
The assets comprising Tru-Form are being acquired for cash, and the transaction will be immediately accretive to earnings. Subject to regulatory approvals, the transaction is expected to be completed late in the first quarter of fiscal 2012, after which the results of Tru-Form will be reported as part of PCC’s Forged Products segment.
Precision Castparts Corp. is a worldwide, diversified manufacturer of complex metal components and products. It serves the aerospace, power, and general industrial markets. PCC is the market leader in manufacturing large, complex structural investment castings, airfoil castings, and forged components used in jet aircraft engines and industrial gas turbines. The Company is also a leading producer of highly engineered, critical fasteners for aerospace and other general industrial markets, and supplies metal alloys and other materials to the casting and forging industries.
Information included within this press release describing projected growth and future results and events constitutes forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results in future periods may differ materially from the forward-looking statements because of a number of risks and uncertainties, including but not limited to fluctuations in the aerospace, power generation, and general industrial cycles; the relative success of the Company’s entry into new markets; competitive pricing; the financial viability of the Company’s significant customers; the impact on the Company of customer labor disputes; demand, timing and market acceptance of new commercial and military programs including the Boeing 787; the availability and cost of energy, materials, supplies, and insurance; and the cost of pension benefits and post-retirement medical benefits; equipment failures; relations with the Company’s employees; the Company’s ability to manage its operating costs and to integrate acquired businesses in an effective manner; governmental regulations and environmental matters; risks associated with international operations and world economies; the relative stability of certain foreign currencies; the impact of adverse weather or natural disasters; the availability and cost of financing; and implementation of new technologies and process improvement. Any forward-looking statements should be considered in light of these factors. The Company undertakes no obligation to publicly release any forward-looking information to reflect anticipated or unanticipated events or circumstances after the date of this document.
Dwight E. Weber