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.
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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
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
