Carnegie, PA, April 18, 2018 -- Ampco-Pittsburgh Corporation (NYSE: AP) announced today that its subsidiary, Union Electric Steel Corporation (“Union Electric Steel”), will raise prices on forged and cast roll products that it and its subsidiaries produce globally. These subsidiaries include the acquired companies formerly comprising the Åkers Group (“Åkers”). This increase is effective immediately on all new orders received as of April 18, 2018, or as relevant contract terms permit.
The price adjustments are driven by upward pricing pressures on the cost of raw materials and other steelmaking consumables, increasing production costs due to growing product demand and other global inflationary factors. As a direct consequence, Union Electric Steel is increasing its pricing levels by approximately 8-10% for all forged and cast roll product lines worldwide.
Commenting on the announcement, Rodney Scagline, President of Union Electric Steel, stated, “Our business continues to be impacted by the increasing costs of key raw materials, such as electrodes and refractories. In addition, as the overall metal industry has ramped activity, other manufacturing and supply chain costs, such as cutting tool inserts, labor, and transportation, have increased dramatically. We are particularly concerned about the cost of freight within North America following the recently adopted Electronic Logging Device Rule. Union Electric Steel must recover these costs to be able to invest in our operations in order to maintain a reliable supply of rolls to our customers.”
Contact:
Melanie L. Sprowson
Director, Investor Relations
412-429-2454
msprowson@ampcopgh.com
FOR IMMEDIATE RELEASE
CARNEGIE, PA
April 18, 2018
About Ampco-Pittsburgh Corporation
Ampco-Pittsburgh Corporation, through its operating subsidiary, Union Electric Steel Corporation, is a leading producer of forged and cast rolls for the worldwide steel and aluminum industries, as well as ingot and open die forged products for the oil and gas, aluminum, and plastic extrusion industries. Ampco-Pittsburgh is also a producer of air and liquid processing equipment, primarily custom-engineered finned tube heat exchange coils, large custom air handling systems and centrifugal pumps. The Corporation operates manufacturing facilities in the United States, Canada, United Kingdom, Sweden, Slovenia, and China. Sales offices are located in North and South America, Asia, Europe, and the Middle East. Corporate headquarters is located in Carnegie, Pennsylvania.
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