IRVING, Texas, July 25 /PRNewswire-FirstCall/ -- Commercial Metals
Company (NYSE: CMC), headquartered in Irving, Texas, announced today that
CMC Zawiercie S.A. (CMCZ), CMC's steel minimill located in Zawiercie,
Poland, will install a new rolling mill at an estimated cost of $170
million. The new mill, designed to allow efficient and flexible production
of an increased medium section product range, will complement the
facility's existing rolling mill dedicated primarily to rebar production.
The mill will have a rolling capacity of approximately 650,000 metric tons
of rebar, merchant bar and wire rod. The new mill, expected to be
commissioned during the summer of 2009, is in addition to CMCZ's second
existing rolling mill dedicated to wire rod production and the previously
announced wire rod block currently under installation.
CMC Chief Executive Officer Murray McClean said, "This is a major
strategic expansion to capture the full advantage of the significant and
underutilized melting capacity of CMCZ's two existing electric arc
furnaces. The new mill will expand production volume and extend the product
range and size of our long products."
CMC Executive Vice President Hanns Zoellner added, "Apart from
additional rebar capacity to supply the growing demand for reinforcing
steel in Poland, the merchant bar will expand CMCZ's current product
offerings to include larger sizes of rounds, squares, angles and flats. New
products such as channels, unequal angles and tees can also be produced.
The mill addition will also be capable of providing product to the new wire
rod block presently being installed at CMCZ which is on schedule to be
operational by summer 2008. The combination of these projects will provide
wire rod of higher quality with availability in bigger coils for CMCZ's
customers."
Commercial Metals Company and subsidiaries manufacture, recycle and
market steel and metal products, related materials and services through a
network including steel minimills, steel fabrication and processing plants,
construction-related product warehouses, a copper tube mill, metal
recycling facilities and marketing and distribution offices in the United
States and in strategic overseas markets.
Forward-Looking Statements
This press release contains "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995. Such
statements are subject to risks, uncertainties and other factors which
could cause actual results to differ materially from future results
expressed or implied by such forward-looking statements. Potential risks
and uncertainties for capital expenditure projects include, but are not
limited to, delays due to permitting and regulatory approvals, construction
cost overruns, achieving anticipated completion dates, successful new
equipment start up, timely achievement of estimated production capacity and
product range, pricing and successful marketing of the facility's products,
increased capacity and product availability from competing steel mills and
other steel suppliers including import quantities, construction activity in
the Company's markets, changes in the costs of raw materials, fuel and
energy, the impact of environmental laws, unexpected equipment failures,
the effect of foreign currency valuations and regulatory and statutory
changes, which are more fully described in the Company's Annual Report on
Form 10-K filed with the SEC.
SOURCE Commercial Metals Company
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Related links:
http://www.cmc.com
CONTACT:
Debbie Okle, Director, Public Relations of
Commercial Metals Company, +1-214-689-4354
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