August 29, 2008

Klöckner & Co acquires Temtco Steel

Klöckner & Co AG announced that it has entered into an agreement to acquire the operating assets of the distribution company Taylor Equipment and Machine Tool Corporation, headquartered at Louisville in Mississippi. The acquisition is still subject to the approval of the American anti trust authorities.

Temtco Steel is a leading distribution company for specialty plate with a large share of processing. It employs some 180 staff in 5 locations in the USA and generated sales of approximately EUR 226 million in 2007. The high strength quenched & tempered steels, wear resistant steels and security steels have broad areas of application such as energy and heavy equipment industries, as well as the mining and transportation sectors.

After the acquisition of Primary Steel last year, a company which also has a focus on specialty plate, Klöckner & Co, through Namasco Corporation, continues to expand its market position for specialty plate and strengthens its presence in the North American steel and distribution market.

Dr Thomas Ludwig chairman of Klöckner & Co AG management board said that "With sales of approximately EUR 226 million, Temtco Steel is just like Primary Steel, another larger distribution company in the North American market, which we acquired in 2007. The Temtco Steel acquisition not only strengthens our market presence, but also facilitates our expansion of our product portfolio in the area of high grade specialty plates with a large share of processing.”