PORTLAND – November 20,
2008 – This morning, the 29,000-ton
forging press at Precision Castparts
Corp.’s (NYSE:PCP) Wyman-Gordon
(Wyman) facility in Houston, Texas,
failed.
This forge is used primarily to manufacture
aircraft engine components. The
company has a risk mitigation strategy
in place in the event of such a failure.
Wyman estimates that roughly 70 percent
of the product handled on the 29,000-ton
press can be moved with little interruption
to another press in the Houston facility. The
balance can be manufactured in other
Wyman facilities within a reasonable
period of time. This effort
will be coordinated with Wyman’s
customers. At this point, Wyman
has begun an analysis of the extent
of required repairs and expects to
gain a better understanding of the
situation within a week.
“We have notified our customers
about this unfortunate failure and will
work closely with them to mitigate production
interruptions,” said Mark Donegan,
chairman and chief executive officer
of Precision Castparts Corp. “The
primary output of the 29,000-ton press
is aircraft engine components; the other
Houston product lines are not affected.”
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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.
###
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 impact
on the Company of customer labor
disputes; 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
