Nearby Facilities to Continue to Serve Markets
COLUMBUS, Ohio--(BUSINESS WIRE)--Sept. 25, 2007--Worthington
Industries (NYSE:WOR) announced today it will begin implementing a
consolidation plan at five of its Dietrich Metal Framing locations
impacting approximately 165 employees.
"Today's action is a result of our focus on asset utilization to
ensure that our businesses are maximizing profitability," said John P.
McConnell, Chairman and CEO of Worthington Industries. "Although the
consolidation will reduce Dietrich's footprint, we have chosen
locations in close proximity to other Dietrich facilities to maintain
our customer service. We continue to have the largest reach to markets
through our national distribution network."
The company expects the consolidation plan to result in $9 million
in annual savings and be fully implemented by the end of the year. One
time restructuring charges, estimated to be $15 million in the
aggregate for the five facilities, will be incurred over the next few
quarters until the plan is completed.
The facilities included in the consolidation plan are: East
Chicago, Ind.; Rock Hill, S.C.; Phoenix, Ariz.; Wildwood, Fla.; and
the downsizing of operations in Montreal, Canada. The Rock Hill
facility also houses a Worthington steel processing operation which
will continue to operate. Annual net sales generated by these
operations total approximately $125 million and the majority of those
sales are expected to be handled by nearby Dietrich locations.
About Dietrich Metal Framing
Dietrich Metal Framing is the largest manufacturer of steel
framing products in the United States. Dietrich's 2,000 employees in
26 facilities, use state of the art equipment and in-house metallurgic
labs to ensure superior product performances and competitive prices.
Dietrich Metal Framing, founded in 1959, is a Worthington Industries
Company.
About Worthington Industries
Worthington Industries is a leading diversified metal processing
company with annual sales of approximately $3 billion. The Columbus,
Ohio, based company is North America's premier value-added steel
processor and a leader in manufactured metal products such as metal
framing, metal ceiling grid systems, pressure cylinders, automotive
past model service stampings and laser welded blanks. The company
employs more than 8,000 people and operates 67 facilities in 10
countries.
Founded in 1955, the company operates under a long-standing
corporate philosophy rooted in the golden rule, with earning money for
its shareholders as the first corporate goal. This philosophy, an
unwavering commitment to the customer, and one of the strongest
employee/employer partnerships in American industry serve as the
company's foundation.
Safe Harbor Statement
The company wishes to take advantage of the Safe Harbor provisions
included in the Private Securities Litigation Reform Act of 1995 ("the
Act"). Statements by the company, related to expected savings, future
restructuring charges, expected annual sales, the ability to retain
sales and other statements which are not historical information,
constitute "forward looking statements" within the meaning of the Act.
All forward-looking statements are subject to risks and uncertainties
which could cause actual results to differ from those projected.
Factors that could cause actual results to differ materially include
risks described from time to time in the company's filings with the
Securities and Exchange Commission.
CONTACT: Worthington Industries
Media:
Cathy M. Lyttle, 614-438-3077
VP, Corporate Communications
E-mail: cmlyttle@WorthingtonIndustries.com
or
Investor:
Allison M. Sanders, 614-840-3133
Director, Investor Relations
E-mail: asanders@WorthingtonIndustries.com
or
www.WorthingtonIndustries.com
SOURCE: Worthington Industries