Intermet Liquidation Underway

Oct. 29, 2009
Two diecasting plants sold, two foundries to close
Various reports indicate that Intermet Corp. is selling or closing its remaining operations. The company has not commented on the circumstances, but an Intermet representative directed inquiries to a “liquidating trust.” No further response has been received. Intermet filed for Chapter 11 bankruptcy in August 2008. The company has manufactured of cast, diecast, and pressure-cast components for automotive, commercial vehicle, and industrial markets. In September of this year, the federal judge overseeing the bankruptcy ordered the assets to be liquidated, records show. Earlier this year, Intermet was understood to be a target of Cerion L.L.C., an auto-parts manufacturing group being formed by investors through the acquisition of distressed assets. Cerion previously acquired several diecasting operations from the bankrupt Contech L.L.C., which later liquidated. Two Intermet Ferrous Group foundries in Virginia — the Archer Creek Foundry in Lynchburg and the New River Foundry in Radford — are marked for shutdown according to local reports. Local officials in those communities have been informed of the closings. The Lynchburg plant would leave 192 workers without jobs, while the Radford plant would idle 76 more. Two nonferrous diecasting operations — in Monroe City and Palmyra, MO — reportedly have been sold to Continental Castings L.L.C., for an undisclosed price. Continental Castings is a subsidiary of Perry Machine & Die, in Perry, MO, that produces castings for the home furnishings, automotive, industrial, sporting goods, and communications markets.