AMAG: 2014 is another year of record shipments

Highlights:
• Rolling mill and casthouse in mid-December already exceed last year’s record shipments
• Successful start of large-scale investment in hot-rolling mill and plate production center
• Employees instrumental in ensuring success by submitting record number of suggested improvements (CIP)

The ongoing year, 2014, was characterized by the prior year’s record shipments figures achieved at the Ranshofen location being exceeded yet again. For instance, the rolling mill’s shipment volumes of about 168,000 tons achieved to date are already well in excess of 2013’s record value of 157,600 tons. The main reason for this development is the growing demand for AMAG-produced special sheet and plate, which comes predominantly from the automotive and aircraft industries but also from the packaging, sports equipment, construction and mechanical engineering industries. Also in the foundry alloys casthouse, where the focus is mainly on shipments to the automotive industry, the shipment volumes of about 81,000 tons achieved to date already exceed the prior year’s record value of 79,100 tons. The EBITDA range for the ongoing fiscal year published in the Q3 report remains unchanged at between EUR 110 million and EUR 115 million.

“This positive development distinctly reflects AMAG’s excellent reputation and the trust placed in us by our customers. These new record shipments are of particular significance in view of the successful parallel start-up of the new hot-rolling mill and plate production center and the decision in favor of further plant expansion“, says Helmut Wieser, CEO of AMAG Austria Metall AG.

Plant expansion proceeds as scheduled
Since the successful start-up of the hot-rolling mill on September 9, 2014 we have been working intensively on the run-up of the lines and on the corresponding qualifications with the customers. These activities are proceeding on schedule. Preparatory work for the further plant expansion involving an investment volume of over EUR 300 million, resolved on in November 2014, is also well underway. The planned construction of a new cold-rolling mill as well as of upgrading equipment will double production capacity at the Ranshofen location to over 300,000 tons. In addition, the two projects will create 450 new jobs. The new products, which will be up to 2,300 mm in width, will make AMAG a full-range supplier for special products for the automotive, aircraft, sports equipment, consumer electronics, construction, mechanical engineering and packaging industries.

“Current talks with customers from a variety of industries confirm our growth course. Particularly in the area of high-strength alloys, one of AMAG’s specialties, demand is expected to strongly increase over the next few years, above all from the transport sector“,continues Helmut Wieser.

Employees contribute to corporate success
The strong commitment of our employees at the Ranshofen location is demonstrated in particular by how keenly they participate in the continuous improvement process, or CIP for short. By submitting suggested improvements in the areas of quality, productivity and safety, our employees contribute to our corporate success.

“2012 was the first year that the magical mark of 10,000 submitted suggestions was exceeded. This year, we will clearly exceed the previous record of 10,344 suggestions. At more than seven suggestions per employee we are setting yet another standard”, Helmut Wieser is pleased to conclude.