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Aleris Closes Indiana Secondary Aluminum Plant

Dec. 3, 2008
Another supplier, Commercial Alloys Corp., files Chapter 11

Aleris International Inc., one of the largest domestic suppliers of aluminum specification alloys has closed its Tipton, IN, plant, permanently. Production at the facility was idled in March. Last summer, Aleris indicated it aimed to cut operations in an effort to save up to $72 million/year in expenses.

The Indiana plant reportedly has a production capacity of about 9 million lb/year of secondary aluminum alloys, and employed about 55 workers. Aleris acquired the operation in its 2007 takeover of Wabash Alloys.

In recent weeks Aleris has been cutting output and idling capacity across its multi-faceted organization, which includes aluminum rolling mills, extrusion plants, and recycling operations, as well as specification alloy plants. Earlier, Aleris idled its coil-coating line in Roxboro, NC, and rolling mills in Richmond, VA, Bedford, OH, Cap-de-la-Madeleine, PQ, and Toronto, ON.

It previously closed aluminum alloy and recycling plants in Dickson, TN, Guelph, ON, and Monterrey, Mexico.

Another secondary aluminum supplier, Commercial Alloys Corp., filed for bankruptcy protection on November 26, together with its subsidiary Aluminum One. Aluminum One operates aluminum recycling plants in Minerva, OH, and Scottsboro, AL.