AMG subsidiary Timminco reaches new labour contract with employees at
Becancour facilities
Amsterdam, 28 May 2009 --- AMG Advanced Metallurgical Group N.V.'s
("AMG", EURONEXT AMSTERDAM: "AMG") 53.8% owned subsidiary, Timminco
Limited ("Timminco"; TSX: TIM), announced that the hourly workforce
at its Bécancour, Quebec facilities have ratified and approved the
terms of a new collective bargaining agreement, which will apply for
a five-year term ending in April 2013. Over 93% of the unionized
employees, who are represented by the Communications, Energy and
Paperworkers Union of Canada, Local 184, voted in favour of the new
terms.
Under the new agreement, wages will not increase from existing
levels, which have been in effect since the expiry of the prior
labour contract in April 2008, until May 2010. Wage increases of
2.4%, 2.6% and 2.8% will take effect annually in May 2010, May 2011,
and May 2012, respectively. The Company will also implement new work
schedules to enhance the efficiency of operations at the Bécancour
facility.
"We are very pleased that our employees have shown such strong
support for the new agreement," said Mr. René Boisvert, President and
CEO of Bécancour Silicon Inc., Timminco's wholly-owned subsidiary.
"We have spent many months in negotiations with the union
representatives, and thank them for their efforts in bringing us to
an amicable agreement on the new contract. It provides long-term
stability in the workforce, which positions the company well for the
future when we see a recovery in the demand for silicon metal and
solar grade silicon."
Timminco has 375 employees at its Becancour facilities, of which 275
are unionized. As previously announced, the Company has implemented
temporary workforce reductions at these facilities as a result of the
curtailment of production of silicon metal and the reduction in the
production levels of solar grade silicon under its cost containment
initiative. To date, 172 unionized employees have been given
temporary lay-off notices to bring employment levels in line with
current production levels. The extent and duration of such workforce
reductions are uncertain.
About AMG
AMG, incorporated in the Netherlands, is a global leader in the
production of highly engineered specialty metal products and advanced
vacuum furnace systems. AMG serves growing industries worldwide with
its unique combination of metallurgical engineering expertise and
production know-how. AMG is a market leader in many of its products
and systems, which are critical to the production of key components
for the aerospace, energy (including solar and nuclear), electronics,
optics, chemicals, construction and transportation industries. AMG
has two operating divisions of businesses, Advanced Materials and
Engineering Systems, and owns majority interests in publicly-listed
companies Timminco Limited (TSX: "TIM") and Graphit Kropfmühl AG
(Deutsche Börse: GKR.DE).
The Advanced Materials Division develops and produces niche specialty
metals and complex metals products, many of which are used in
demanding, safety-critical, high-stress environments. AMG is one of
a limited number of significant producers globally of niche specialty
metals, such as ferrovanadium, ferronickel-molybdenum, aluminum
master alloys and additives, chromium metal and ferrotitanium, used
by steel, aluminum, chemical and superalloy producers for aerospace,
automotive, energy, electronics, optics, chemicals, construction and
other applications. Other key products produced by AMG include
specialty alloys for titanium and superalloys, coating materials,
tantalum and niobium oxides, vanadium chemicals and antimony
trioxide.
The Engineering Systems Division designs, engineers and produces
advanced vacuum furnace systems and operates vacuum heat treatment
facilities. AMG is a global leader in supplying
technologically-advanced vacuum furnace systems to customers in the
aerospace, energy (including solar and nuclear), transportation,
electronics, superalloys and specialty steel industries. Examples of
furnace systems produced by AMG include vacuum remelting, solar
silicon melting and crystallization, vacuum induction melting, vacuum
heat treatment and high pressure gas quenching, vacuum precision
casting, turbine blade coating and sintering. AMG also provides
vacuum case-hardening heat treatment services on a tolling basis to
customers through facilities equipped with vacuum heat treatment
furnaces.
Timminco Limited is a majority controlled, publicly listed subsidiary
of AMG. Timminco produces solar grade silicon for the solar
photovoltaic energy industry. Timminco also produces silicon metal
and magnesium products for use in a broad range of industrial
applications.
Graphit Kropfmühl AG is a majority controlled, publicly listed
subsidiary of AMG. Based on its secure raw material sources in
Africa, China and Europe, Graphit Kropfmühl is a specialist in the
production of silicon metal and the extraction, processing and
refining of natural crystalline graphite for a wide range of energy
saving industrial applications.
AMG operates globally with production facilities in Germany, the
United Kingdom, France, Czech Republic, the United States, Canada,
Mexico, Brazil, Sri Lanka and Australia and also has sales and
customer service offices in Belgium, Russia, China and Japan
(website: www.amg-nv.com).
For further information please contact:
AMG Advanced Metallurgical Group N.V. +1 610 975 4901
Jonathan Costello
Vice President of Corporate Communications
jcostello@amg-nv.com
Disclaimer
Certain statements in this press release are not historical facts and
are "forward looking." Forward looking statements include statements
concerning AMG's plans, expectations, projections, objectives,
targets, goals, strategies, future events, future revenues or
performance, capital expenditures, financing needs, plans and
intentions relating to acquisitions, AMG's competitive strengths and
weaknesses, plans or goals relating to forecasted production,
reserves, financial position and future operations and development,
AMG's business strategy and the trends AMG anticipates in the
industries and the political and legal environment in which it
operates and other information that is not historical information.
When used in this press release, the words "expects," "believes,"
"anticipates," "plans," "may," "will," "should," and similar
expressions, and the negatives thereof, are intended to identify
forward looking statements. By their very nature, forward looking
statements involve inherent risks and uncertainties, both general and
specific, and risks exist that the predictions, forecasts,
projections and other forward looking statements will not be
achieved. These forward looking statements speak only as of the date
of this press release. AMG expressly disclaims any obligation or
undertaking to release publicly any updates or revisions to any
forward looking statement contained herein to reflect any change in
AMG's expectations with regard thereto or any change in events,
conditions or circumstances on which any forward looking statement is
based.
AMG subsidiary Timminco reaches new labour contract with employees at
Becancour facilities
This announcement was originally distributed by Hugin. The issuer is
solely responsible for the content of this announcement.