Arconic (ARNC) Divests Fusina, Italy Rolling Mill

Arconic Inc. (NYSE: ARNC) today announced the divestiture of its Fusina, Italy rolling mill to Slim Aluminium. The transaction follows a thorough review process and is part of Arconic Global Rolled Products’ (GRP) continued drive to convert the business from a commodity producer to a high-margin aerospace and automotive supplier.

Arconic expects to record restructuring-related charges representing the loss on sale of approximately $60 million after tax, or $0.12 per diluted share, in its Statement of Consolidated Operations for the first quarter of 2017. The charges primarily relate to the non-cash impairment of the net book value of the business as well as the injection of $10 million in cash into the business prior to its sale.

GRP has increased its adjusted EBITDA margin by 890 basis points – from 3 percent in 2008 to 11.9 percent in 2016 – through portfolio optimization, manufacturing excellence and commercializing innovations.

You May Also Be Interested In

• Real and RE/MAX Holdings receive court approval for merger
• Bernstein on whether Hershey (HSY) could eventually step up to buy Mondelez (MDLZ)
• Robo.ai completes acquisitions, plans interim report for Aug. 24