TOLEDO, Ohio, May 1 /PRNewswire-FirstCall/ -- Owens Corning (NYSE: OC)
announced today that it has completed the sale of two composite
manufacturing plants to Platinum Equity. The facilities are located in
Battice, Belgium, and Birkeland, Norway.
The aggregate gross purchase price for the sale was euro 155 million
($242 million). After costs associated with the transaction and to position
the business as an ongoing concern, Owens Corning expects to realize net
proceeds of approximately $197 million, consisting of cash proceeds of $184
million plus the assumption of certain liabilities by the purchaser. As a
result of the sale, Owens Corning recorded an additional impairment charge
of approximately $10 million in the first quarter of 2008. These amounts
are subject to post-closing adjustments.
Owens Corning previously announced that it reached a definitive
agreement to sell the two facilities to address regulatory concerns
associated with Owens Corning's acquisition of Saint-Gobain's
reinforcements and composite fabrics businesses on November 1, 2007. The
sale implements required European regulatory remedies.
As previously disclosed, in addition to the manufacturing facilities,
the transaction includes the transfer of other assets related to the
ongoing operation of the facilities, including intellectual property rights
and precious metals used in production tooling.
About Owens Corning
Owens Corning (NYSE: OC) is a leading global producer of residential
and commercial building materials, glass fiber reinforcements and
engineered materials for composite systems. A Fortune 500 company for 54
consecutive years, Owens Corning is committed to driving sustainability
through delivering solutions, transforming markets and enhancing lives.
Founded in 1938, Owens Corning is a market-leading innovator of glass fiber
technology with sales of $5 billion in 2007 and 19,000 employees in 26
countries on five continents. Additional information is available at
http://www.owenscorning.com/ .
About Platinum Equity
Platinum Equity ( http://www.platinumequity.com/ ) is a global M&A&O(R)
firm specializing in the merger, acquisition and operation of companies
that provide services and solutions to customers in a broad range of
business markets, including information technology, telecommunications,
logistics, metals services, manufacturing and distribution. Since its
founding in 1995 by Tom Gores, Platinum Equity has acquired more than 80
businesses with more than $24 billion in aggregate annual revenue at the
time of acquisition.
This news release contains forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934. These forward-looking statements are
subject to risks, uncertainties and other factors, many of which are
outside the control of the company, which could cause actual results to
differ materially from those projected in these statements and from the
company's historical results and experience. Such factors include
competitive factors, pricing pressures, availability and cost of energy and
materials, acquisitions and achievement of expected synergies therefrom,
general economic conditions and factors detailed from time to time in the
company's Securities and Exchange Commission filings. Since it is not
possible to predict or identify all of the risks, uncertainties and other
factors that may affect future results, the above list should not be
considered a complete list. Any forward-looking statement speaks only as of
the date on which such statement is made, and the company undertakes no
obligation to update or revise any forward-looking statement, whether as a
result of new information, future events or otherwise.
SOURCE Owens Corning
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Related links:
http://www.owenscorning.com
http://www.platinumequity.com
http://www.prnewswire.com/comp/677350.html /
CONTACT:
Media, Jason Saragian, +1-419-248-8987, or
Investors, Scott Deitz, +1-419-248-8935, both of Owens Corning
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