PORTLAND – October 6, 2008 – Precision
Castparts Corp. (NYSE:PCP) has agreed to acquire
Fatigue Technology, Inc. (FTI), headquartered
in Seattle, Washington.
In 1969, FTI pioneered the cold expansion process,
which extends fatigue life in both metal and composite
airframe fastener holes. The cold expansion
process involves radial expansion of an existing
hole, imparting residual compressive stress around
the hole, and dramatically extending fatigue life. All
products manufactured by FTI, including split sleeves,
bushings, rivetless nut plates, blind nuts, and
fittings utilize the cold expansion process in
their installation and are specified by the airframe
manufacturer to obtain the desired fatigue life
benefits. Further information on the company’s
products and processes is available at www.fatiguetech.com.
“The acquisition of FTI continues our efforts
to grow and enhance our critical aerospace fastener
product offering,” said Mark Donegan, chairman
and chief executive officer of Precision Castparts
Corp. (PCC). “The company fits squarely
with all our core competency targets, and its sales
are nearly 100 percent to the aerospace market. FTI
is the technology leader in fatigue life extension
for airframe applications, and we will look to
leverage their expertise and knowledge base across
our other fastener businesses.”
The cash acquisition of FTI will be immediately
accretive to earnings and will be treated as an
acquisition of assets for tax purposes. Subject
to regulatory approvals, the acquisition is expected
to be completed in the third quarter of fiscal
2009, after which FTI’s results will be reported
as part of the Fastener Products segment.
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Precision Castparts Corp. is a worldwide, diversified
manufacturer of complex metal components and products. It
serves the aerospace, power generation, automotive,
and general industrial and other 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, automotive, and
other markets and supplies metal alloys and other
materials to the casting and forging industry.
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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, automotive, and other
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
availability and cost of materials, energy, supplies,
insurance, and pension 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; 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.
Contact:
Dwight E. Weber
503-417-4855
