RTI International Metals and Titanium Industries Announce the Closing of the Sale of RTI Pierce Spafford
PITTSBURGH--(BUSINESS WIRE)-- RTI International Metals, Inc. (NYS: RTI) , and Titanium Industries, Inc., today announced they have closed on the sale of RTI's wholly-owned subsidiary, Pierce-Spafford Metals Company, Inc. (RTI Pierce Spafford), to Titanium Industries for approximately $12.5 million in cash. Pierce Spafford is a full-service stocking distributor of specialty metals serving customers in the aerospace, defense, oil and gas, power generation, and general industrial markets. RTI's flat rolled titanium products distribution business - RTI Los Angeles - which is currently co-located with Pierce Spafford is not affected by the sale, but intends to relocate to an alternative site in the Los Angeles area.
Dawne S. Hickton, Vice Chair, President and CEO of RTI said, "This divestiture is expected to enhance the strategic focus of RTI's resources on titanium mill products and downstream engineered products and services. The employees at Pierce Spafford have been valued and consistent contributors to the success of RTI since we acquired the business 15 years ago. We believe this transaction with Titanium Industries is a great opportunity to transfer a well-performing asset to an organization that will further enhance its growth potential going forward."
Brett S. Paddock, President and CEO of Titanium Industries said, "We welcome Pierce Spafford to T.I.'s global metals distribution and service center network. Pierce Spafford has a rich history of focused quality and customer service out of its impressive Garden Grove, California facility and will add a strategic line of distribution alloys and service capabilities to T.I.'s growing global operations. We're confident that this relationship will provide strong benefits throughout both organizations, as well as to our collective, diverse customer and vendor base."
FBR Capital Markets & Co. acted as financial advisor to RTI, and Buchanan Ingersoll & Rooney PC acted as RTI's legal advisor. Day Pitney LLP acted as the legal advisor to Titanium Industries.
RTI International Metals, Inc., headquartered in Pittsburgh, specializes in advanced titanium, meeting the requirements of the world's most technologically sophisticated applications in commercial aerospace, defense, propulsion, energy, industrial, chemical, and medical markets. For over 60 years, RTI has been taking titanium further through advanced manufacturing, engineering, machining, and forming processes. RTI delivers titanium mill products, extruded shapes, form-ready parts, and highly engineered components through our downstream integrated supply chain. RTI has locations in the United States, Canada, Europe, and Asia. To learn more about RTI International Metals, Inc., visit our website at www.rtiintl.com.
Titanium Industries, Inc. (T.I.), headquartered in Rockaway, NJ, is a global leader in performance metal solutions for the aerospace, medical, industrial and oil & gas markets. Holding a complete inventory of performance metals across its 18 location global service center network, T.I. delivers supply chain solutions at all levels of sophistication and complexity. With a globally experienced and technically driven team, T.I. has been providing dependable, quality driven solutions to customers since 1972. Please visit www.titanium.com to learn more.
RTI Forward-Looking Statement
All statements in this release relating to matters that are not historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ from those projected, anticipated or implied. These risks and uncertainties include, but are not limited to, the impact of global events on the commercial aerospace industry, the impact from Boeing 787 production delays, military spending generally and demand from the Joint Strike Fighter program, actual build-rates, production schedules and titanium content per aircraft for commercial and military aerospace programs, the competitive nature of the markets for specialty metals, the ability of RTI to obtain adequate raw materials, the successful integration of our recent acquisitions, global economic conditions, the successful completion of RTI's capital expansion projects, and other risks and uncertainties described and included in RTI's filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2012, and the exhibits attached to those filings. Actual results can differ materially from those forecasted or expected. The information contained in this release is qualified by and should be read in conjunction with the statements and notes filed with the Securities and Exchange Commission on Forms 10-K and 10-Q, as may be amended from time to time. The forward-looking statements in this document are intended to be subject to the safe harbor protection provided by Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. RTI undertakes no obligation to update or revise any forward-looking statements.
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RTI International Metals, Inc.
Dan Crookshank, 412-893-0084
Director - Investor Relations
Titanium Industries, Inc.
Jeff Wise, 303-220-5434
Vice President - Sales and Marketing
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