Allegheny to improve future financial performance

Allegheny Technologies Incorporated has recently declared several actions to improve the Company’s future financial performance, which include the indefinite idling of the Rowley, UT titanium sponge production facility and consolidating certain titanium manufacturing operations in Albany, OR.

These actions are expected to improve ATI’s annual operating income by approximately USD 50M beginning in 2017. As a result of these actions, ATI expects to record total pre-tax, non-cash impairment charges of approximately USD 470M for idled facilities (USD 317M after tax, or USD 2.96 per share), and pre-tax shutdown and idling costs of approximately USD 34M (USD 23M after tax, or USD 0.22 per share). “We are focused and committed to return ATI to sustainable profitable growth and improve cash flowâ€?, said Rich Harshman, ATI’s Chairman, President and Chief Executive Officer. “Using a disciplined process, we continually review all of our operations and facilities from both a strategic and cost competitiveness viewpoint. These reviews take into account current and expected future market conditions, including forecasted growth in demand for our products from all end markets and assessments of global supply and demand dynamics. This disciplined process is a key part of our commitment to make the tough decisions that are required to strengthen and enhance ATI’s ability to deliver sustainable profitable growth, and create value for our customers and our shareholders over the long-term.â€?

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