Severstal to sell its steel plants in Michigan and Mississippi

May 13, 2014
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Severstal, Russia, reportedly plans to sell its North American steel operations in Mississippi and Michigan for about $1.5 billion. According to the Wall Street Journal, at least two potential buyers have expressed interest. U.S. Steel is said to be most interested in Severstal's Dearborn mill, which supplies long steel coils to auto makers in Detroit.

Severstal bought the Dearborn plant in 2003 from Rouge Industries for $285.5 million. It has spent over $1 billion upgrading the facility. Severstal's plant in Columbus, Miss., is a minimill that makes steel from scrap.

Brazil's CSN, which recently  lost a bid to buy a plant in Alabama from ThyssenKrupp AG, has reportedly expressed interest in buying both assets.

A successful sale of the two plants would leave no Severstal plants in the United States. In 2011, Severstal sold three unprofitable U.S. plants—in Maryland, Ohio, and West Virginia—to family-owned Renco Group Inc.

Severstal to sell its steel plants in Michigan and Mississippi

Severstal, Russia, reportedly plans to sell its North American steel operations in Mississippi and Michigan for about $1.5 billion.

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Ipsen to provide advanced heat treating equipment to new Mexican automotive plant


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Ipsen, Cherry Valley, Ill., announces that it is working with Imesaza, Spain's largest heat treatment company, to provide advanced heat treating equipment for its new production center in Mexico. Ipsen will also provide innovative process management and control systems. Called Imexaza, the new facility is near the famous "Carrerra Panamericana" transcontinental highway, which runs from Alaska to Tierra del Fuego. The location makes it a close neighbor to primary customer facilities, whose supporting shells for bearings are heat treated by Imexaza in Ipsen-manufactured furnaces.

Along with supplying the Mexican operations of Audi, VW, and Mercedes, Imexaza also works with renowned suppliers CIE Automotive and ZF, as well as the turbocharger expert ITP.

Marcos Garcia Jimenez, Ipsen Sales Manager for Spain and Mexico, adds his own perspective – which results from extensive experience in both markets – on this phenomenon: "Mexico is becoming more and more important for established companies in the automobile industry. It has long ago made the transition from manufacturing cheap components to high-tech production. Our catalog of the most sophisticated heat treatment equipment in the world, combined with our on-site service, allows us to offer proactive support and help the automobile industry produce top-quality components directly in Mexico."

www.ipsenusa.com

 

 

Ipsen to provide advanced heat treating equipment to new Mexican automotive plant

Ipsen, Cherry Valley, Ill., announces that it is working with Imesaza, Spain’s largest heat treatment company, to provide advanced heat treating equipment for its new production center in Mexico.

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Zinc-magnesium coating protects against corrosion at lower cost

May 7, 2014
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ThyssenKrupp Steel Europe, Germany, has developed EcoProtect and ZM PrimeProtect, zinc-magnesium coatings that are said to meet the high surface requirements for exposed automotive body panels. As zinc-magnesium coatings offer significantly higher corrosion protection, coating thickness can be reduced by roughly a third compared with conventional solutions. The thinner coating also makes body parts easier to weld. The improved corrosion protection applies not only to flat surfaces, but above all to cut edges and creep around scratches, both of which are high-risk areas.

Thanks to the hard surface, there is less abrasion in the die, which means more parts can be produced on the press between cleaning intervals. As a result, OEMs benefit from optimized production processes. Moreover, the auto industry can switch to these new corrosion protection solutions without difficulty. ZM EcoProtect coatings offer the same surface finish as high-quality hot-dip galvanized parts. Therefore, it is no problem to start by just producing a few parts with the new coating and fitting them in the body. Car buyers will see no difference in the paintwork.

ZM PrimeProtect goes a step further, offering all the advantages of ZM EcoProtect with an even better finish. Press plants and paint shops benefit from improved long waviness and a higher peak count. Combined with good forming behavior in the press plant this results in a premium paint finish - if necessary even without filler; the paint is applied directly to the primer. That saves time and money and benefits the environment.

With the development of ZM EcoProtect and ZM PrimeProtect, ThyssenKrupp Steel Europe is the first steel producer worldwide capable of offering all common automotive coatings also in outer skin quality. These world-first zinc-magnesium solutions were developed by the company's Technology & Innovation unit.

www.thyssenkrupp.com

 

Zinc-magnesium coating protects against corrosion at lower cost

ThyssenKrupp Steel Europe, Germany, has developed EcoProtect and ZM PrimeProtect, zinc-magnesium coatings that are said to meet the high surface requirements for exposed automotive body panels.

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Zimmer to acquire Biomet in transaction valued at $13.35 billion

April 30, 2014
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Zimmer Holdings Inc. and Biomet Inc., both of Warsaw, Ind., have approved a definitive agreement under which Zimmer will acquire Biomet in a cash and stock transaction valued at approximately $13.35 billion, including the assumption of net debt. The merger will position the combined company as a leader in the $45 billion musculoskeletal industry and is aligned with Zimmer's strategic framework, which focuses on growth, operational excellence, and prudent capital allocation.

The combined company is expected to deliver attractive growth by offering a more comprehensive and scalable portfolio of solutions with enhanced cross-selling opportunities. In addition, the combined company is expected to advance innovation to benefit healthcare stakeholders, and stockholders are expected to benefit from a more diversified and predictable revenue mix consistent with the comprehensive portfolio.

Upon closing, the transaction is expected to be double-digit accretive to Zimmer's adjusted diluted earnings per share in the first year.  Cash flows from operations are expected to increase by 1.5 times Zimmer's stand-alone estimates. 

"This is a milestone combination that brings together two highly complementary organizations and is consistent with our mission to lead the industry in delivering value to healthcare providers, their patients and stockholders," said David Dvorak, Zimmer President and CEO. "The transaction positions the combined company as a leader in the musculoskeletal industry with a broad portfolio of products, technologies and services, enabling us to help shape how solutions are developed and delivered. 

According to Jeffrey R. Binder, Biomet's President and Chief Executive Officer,  "The combination with Zimmer will prepare us to compete as a stronger entity in the medical device industry of the future. Our combined scale will extend the reach and influence with which we pursue our common passion: delivering products and services that benefit our customers and the patients we ultimately serve."

www.zimmer.com

Zimmer to acquire Biomet in transaction valued at $13.35 billion

Zimmer Holdings Inc. and Biomet Inc., both of Warsaw, Ind., have approved a definitive agreement under which Zimmer will acquire Biomet in a cash and stock transaction valued at approximately $13.35 billion, including the assumption of net debt.

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New Auto Consortium targets material challenges

April 11, 2014
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At the SAE World Congress in Detroit, Granta Design, UK, announced the launch of the Automotive Material Intelligence Consortium (AutoMatIC). This collaboration will bring together OEMs and suppliers in the automotive and off-highway vehicle sectors to develop best practice for materials information and its use. It will help these members as they aim to increase engineering productivity, lower costs, improve product performance, lower risk associated with materials supply and regulations on restricted substances, and make the most of investments in simulation and PLM.

AutoMatIC is modeled on two projects that have pioneered the industrial application of materials information technology: the Material Data Management Consortium (MDMC) and the Environmental Materials Information Technology (EMIT) Consortium.

In a climate of aggressive deadlines, major redesigns, and reduced physical prototyping, the automotive industry is acknowledging the strategic importance of accurate, controlled materials information. This information is essential to initiatives involving Virtual Product Development, materials substitution, supply chain qualification, certification, and risk assessment.

Automotive organizations also need to keep up with a rapidly-evolving materials landscape, understanding and applying innovations in areas such as higher-strength steels and composite materials.  Good materials data and effective materials decisions are essential in optimizing product designs for global manufacturing, lightweighting, and emissions reduction.

A strong base of technology already exists to manage materials information, deploy it for use, and turn it into material intelligence that can have business impact. AutoMatIC will further enhance this technology for automotive applications. Competitive advantage will accrue to member organizations, as they will be able to adopt and apply these tools with maximum speed and effect as well as benefiting from sharing experiences and networking with other members at regular Consortium meetings.

The Consortium will begin an initial three-year phase in June. Founding members will be announced before the first meeting later this year and are expected to include leading OEMs and suppliers from the US and Europe. The project is open to any organization in the relevant sectors interested in applying materials information technology.

The Consortium is expected to develop similarly to the MDMC and EMIT consortia. MDMC, founded in 2002, remains active with over twenty leading aerospace, defense, and energy member organizations (e.g., Boeing, NASA, GE, Rolls-Royce). It pioneered tools to meet the stringent materials data management requirements of companies in these sectors. EMIT, founded in 2008, has a dozen members (e.g., Airbus Helicopters, Emerson Electric, Honeywell) from varied manufacturing sectors. It is developing tools to assess environmental and restricted substance risk in organizations' materials portfolios and product designs.

 

In supporting the work of the Consortium, Granta will provide members with access to technology, data, and project work including: software to manage corporate materials data; innovative tools to integrate materials data into CAD, PLM, and simulation; leading reference data sources on automotive steels, lightweight alloys, polymers, and composites; and the outcomes of collaborations in areas such as data generation for steel and composite crash models, and restricted substance reporting.

 

"The AutoMatIC project will build on established technology for material intelligence in automotive organizations", says Dr Patrick Coulter, Chief Operating Officer at Granta Design. "It also applies the proven Consortium model, which has enabled close collaboration with industry to develop software and information resources that have a practical impact in materials engineering, simulation, product design, and development."

 

More information:
www.grantadesign.com/automatic

New Auto Consortium targets material challenges

At the SAE World Congress in Detroit, Granta Design, UK, announced the launch of the Automotive Material Intelligence Consortium (AutoMatIC).

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Timken forms joint venture to manufacture rail bearings in Russia

March 26, 2014
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The Timken Co., Canton, Ohio, has entered into an agreement with United Wagon Company (UWC) to establish a joint venture to manufacture Timken  AP-2 rail bearings in Russia. UWC is a Russian company that is a leader in building,  leasing, engineering, and servicing freight cars  in Russia. The JV will advance the safety, reliability, and efficiency of the local rail industry, equipping  freight cars with premium Timken bearings. The JV is contingent upon various regulatory approvals and other commercial and customary conditions.

"Leveraging the expertise Timken provides as a global leader in high-performance bearing design is critical to our strategy to deliver modern, high-quality freight cars to our customers in Russia and the Commonwealth of Independent States," said Roman Savushkin, chief executive officer of UWC, based in Moscow.

As part of the agreement, Timken and UWC will establish dedicated manufacturing capacity, with construction expected to start within the next several months.

This JV expands upon an established relationship that was formalized in 2013 with a strategic partnership agreement covering technical and design support and an initial supply of Timken AP-2 bearings to UWC.

"The Russian and CIS rail markets present an incredible growth opportunity for Timken as the region is rapidly modernizing its fleet to support its expanding economy," said Brian Ruel, Timken vice president for rail, off highway and light vehicle systems.

The agreement provides both companies a strategic opportunity to capitalize on a surge in demand as the industry advances from using cylindrical roller bearings on freight car axles to the more efficient, reliable cartridge tapered roller bearing Timken originally designed for the rail industry. Russia expects to acquire nearly one million new freight cars by 2030 as part of an aggressive investment program to renew and upgrade its rolling stock.

"Timken is well-established in delivering engineering solutions for demanding environments like Russia, where the terrain and climate can be rugged," Mr. Ruel said. "Our AP-2 rail bearings carry the heaviest loads in the world, in the harshest of conditions. Together with UWC, we will set a new standard of performance for the Russian and CIS markets."  

www.timken.com

 

Timken forms joint venture to manufacture rail bearings in Russia

The Timken Co., Canton, Ohio, has entered into an agreement with United Wagon Company (UWC) to establish a joint venture to manufacture Timken AP-2 rail bearings in Russia.

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Al-Fe Heat Treating Wabash installs automated control system to provide CQI 9 compliance

February 26, 2014
Source:

Al-Fe Heat Treating, Wabash, Ind.,  has installed a new control system that will allow it to provide CQI 9 compliance for its automotive customers.  The automated process control (APC) system features state-of-the art microprocessor temperature controls and wireless controls of mobile quench tanks.  The system  incorporates the latest technology to enable fully automated processing to ensure high-quality products and consistent reproduction of processes.

 "This new control system is part of our long-term goal related to equipment upgrades," says Al-Fe Wabash Vice President Dan Andersen. "One of our core values is to leverage equipment and technology, and this investment is one more way we can provide superior service and products to our customers."

 Additionally, the world-class system has automated data entry and real-time monitoring of all process parameters. It also features state-of-the-art reporting capabilities for traceability and validation of process conformance for all materials processed. The APC system is nearly identical to the 2012 upgrade of the Al-Fe  plant in Wadsworth, Ohio,  which is aerospace and NADCAP certified.

www.al-fe.com

 

Al-Fe Heat Treating Wabash installs automated control system to provide CQI 9 compliance

Al-Fe Heat Treating, Wabash, Ind., has installed a new control system that will allow it to provide CQI 9 compliance for its automotive customers.

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Constellium develops high-strength aluminum crash-management systems


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Constellium N.V., Amsterdam, has launched  high-strength aluminum crash management systems (CMS) for the front and the rear of a vehicle. Its innovative technology, based on its expertise in both extrusion and rolling techniques, enables the production of aluminum CMS that are 15% lighter and 10% stronger than current aluminum CMS on the market.

These  new-generation CMS combine the properties of the 6xxx aluminum alloy family – formability, corrosion resistance, energy absorption, recyclability – with high-strength mechanical performance.

"We believe that this technology combined with advanced design and manufacturing capabilities will result in higher performance and cost efficiency," said Paul Warton, President of Constellium's Automotive Structures and Industry business unit. 

Automotive sector analysts expect the use of aluminum CMS to increase in the next five years, particularly in European premium cars. By 2018, aluminum CMS are projected to capture about 30% of total European automotive market share. In the United States, aluminum CMS are expected to account for nearly 20%  market share by 2018. Combined aluminum CMS production for China, Europe, and North America is expected to reach more than 28 million units by 2018.

Constellium's CMS technology was developed through cutting-edge research at its R&D Center in Voreppe, France, testing at its industrial sites, and in close collaboration with its automotive customers.

www.constellium.com

Constellium develops high-strength aluminum crash-management systems

Constellium N.V., Amsterdam, has launched high-strength aluminum crash management systems (CMS) for the front and the rear of a vehicle.

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Aluminum products producer Aleris acquires sheet producer Nichols Aluminum

February 12, 2014
Source:

Aleris, Cleveland, Ohio, has signed a definitive agreement to acquire Nichols Aluminum, LLC, a wholly owned subsidiary of Quanex Building Products Corp. Nichols is a leading producer of aluminum sheet for the transportation, building and construction, machinery and equipment, consumer durables, and electrical industries in North America. The acquisition includes two production facilities in Davenport, Iowa; a facility in Decatur, Alabama; and a facility in Lincolnshire, Illinois.  The company has agreed to pay $110 Million in an all-cash transaction.

"Nichols has a long history of producing flat-rolled aluminum sheet products for customers in a number of key industries across North America and we look forward to continuing that long-standing tradition,"  says Steve Demetriou, Aleris chairman and CEO. "This acquisition is consistent with our strategy to expand our footprint and enhance our capabilities to ensure we are well-positioned to respond to projected growth in our key end uses as the economy begins to recover."

Upon the close of the transaction, Nichols will become part of Aleris' Rolled Products North America business, adding more than 500 Nichols employees to the Aleris team.

Aleris is a privately held, global leader in aluminum rolled products and extrusions, aluminum recycling and specification alloy production. Headquartered in Cleveland, Ohio, Aleris operates approximately 40 production facilities in North America, Europe, and Asia.

www.aleris.com

Aluminum products producer Aleris acquires sheet producer Nichols Aluminum

Aleris, Cleveland, Ohio, has signed a definitive agreement to acquire Nichols Aluminum, LLC, a wholly owned subsidiary of Quanex Building Products Corp.

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Alcoa Dura-Bright commercial truck wheel is ten times more resistant to corrosion

January 24, 2014
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Alcoa, Pittsburgh, introduces the surface-treated Dura-Bright EVO commercial truck wheel, said to be ten times more resistant to corrosion that is primarily caused by road salts and weather. Dura-Bright is not a coating, but rather a surface treatment that penetrates the aluminum and becomes an integral part of the wheel. In addition, Alcoa's wheels are made from one piece of forged aluminum, making them lighter and five times stronger than steel wheels, increasing payload and fuel efficiency.

In addition, the wheel is up to three times more resistant to chemicals, including hydrofluoric acid, found in the toughest truck wash cleaning agents. This enables the use of a wider variety of cleaning solutions to simplify maintenance, while preserving the integrity and brightness of the wheel.

Alcoa's surface treatment experts at the Alcoa Technical Center developed the Dura-Bright wheel technology in collaboration with the Alcoa Wheel and Transportation Products business. The Company launched the first Dura-Bright product in 2003. Three years later, Alcoa's experts improved the brightness and corrosion performance of the Dura-Bright treatment and introduced Dura-Bright wheels with XBR technology. Alcoa's scientists have now enhanced the patented Dura-Bright technology with the development of Dura-Bright EVO wheels.

The Dura-Bright EVO wheel is now commercially available in Europe, where the Company has already seen significant adoption of its Dura-Bright wheels. Alcoa has begun producing the wheel at its manufacturing plant in Székesfehérvár, Hungary. The wheel is expected to be available in all other markets in 2015.

http://www.alcoa.com/global/en/news/news_detail.asp?pageID=20140123000187en&newsYear=2014

 

Alcoa Dura-Bright commercial truck wheel is ten times more resistant to corrosion

Alcoa, Pittsburgh, introduces the surface-treated Dura-Bright EVO commercial truck wheel, said to be ten times more resistant to corrosion that is primarily caused by road salts and weather.

Continue reading