Gerdau S.A.

Steelmaker Completes Acquisition of Rebar Facilities

A steel and metal manufacturer based in Irving, Texas, which includes heat treating in the processes it provides recently announced the company has completed the acquisition of 33 rebar fabrication facilities as well as steel mills in the United States.

Barbara Smith, Chairman of the Board, President, and Chief Executive Officer of Commercial Metals

Commercial Metals Company acquired the plants from Gerdau S.A., a producer of long and specialty steel products in the Americas. The steel mills are located in Knoxville, TennesseeJacksonville, FloridaSayreville, New Jersey; and Rancho Cucamonga, California.

“I am thrilled to welcome the approximately 3,200 employees of these operations to Commercial Metals Company,” said Barbara Smith, Chairman of the Board, President, and Chief Executive Officer of Commercial Metals. “The successful completion of the transaction represents an important step in our strategy to be the leading concrete reinforcing specialist as well as a significant provider of merchant and wire rod products.  With our expanded geographic footprint and added operational flexibility, this transaction supports our vertically integrated steelmaking model and will leverage our existing rebar manufacturing technology and customer service core competencies.”

Photo credit: BizJournals.com

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15 Quick Heat Treat News Items to Keep You Current

15 Quick Heat Treat News Items to Keep You Current

Heat Treat Today offers News Chatter, a feature highlighting representative moves, transactions, and kudos from around the industry.

Personnel and Company Chatter

  • D. Scott MacKenzie, PhD., Senior Research Scientist–Metallurgy at Houghton International, was elected by the International Federation of Heat Treating and Surface Engineering (IFHTSE) to serve as president for a two-year term. Dr. MacKenzie has been the ASM representative to IFHTSE Executive Committee since 2015 and was awarded ASM Fellow in 2007; he has also published over 150 publications and books, mainly in the field of heat treating and quenching.
  • A new generation of leadership takes over at Michigan-based, flat-rolled steel distributor Grand Steel Products Inc. Jim Barnett, retiring as president and COO, announced that his son, Michael Barnett, has assumed those roles, having started with the company in 2006 and overseeing growth through the purchase of an operations building in 2008, purchase and installation of a slitting line in 2011, and office renovations and additions in 2014. Michael also assisted in the formation of Barnett Industrial Properties and Grand Steel Transport, where he is a Partner. This year, Jim and Michael also added a new company within the same property of Grand Steel Products’ by adding Steel Testing Laboratory (STL).
  • ASM International recently announced that member John Storm, president and CEO of Contour Hardening Inc. (CHI), passed away on May 13, 2018, at the age of 63. "John helped pioneer work with dual frequency induction hardening to strengthen gears and shafts by creating a uniform hardened case pattern. In 1986 . . . he ventured out to co-found CHI with the goal of supplying the industry with innovative induction hardening systems. . . He holds over 200 U.S. and International patents on a variety of processes and applications."
  • The Aluminum Extruders Council (AEC) announced that R. Scott Kelley, president and CEO of Service Center Metals in Prince George, Virginia, was elected to serve as chairman of the Aluminum Extruders Council.  Mr. Kelley has been a member of the AEC Board of Directors since 2013 when he served as an Independent Extruder Director until he was elected to the Executive Committee in 2016 as Vice Chairman of the Council.
  • Gervais Jacques, Managing Director--Atlantic at Rio Tinto Aluminum, has been appointed Chair of the International Aluminium Institute (IAI). As IAI Chair he succeeds Hilde Merete Aasheim, executive vice president of Hydro's Aluminum Metal business, at the end of her two-year tenure.
  • Mary Pernacciaro has been named Director of Quality Management Systems at Illinois-baesd ADVANCED Heat Treating Inc, overseeing maintenance and improvements within the company’s quality systems.
  • Gerdau S.A. recently announced that Chia Yuan Wang, currently the Supply Chain Vice-President in North America, was appointed as the new president for its North American Long Steel Operation, succeeding the CEO of Gerdau, Gustavo Werneck, who was temporarily serving in the position during the last three months. Wang has almost 30 years of experience at Gerdau and held several positions in Brazil, Canada, China, and the United States.
  • Germany’s leading engine manufacturer, MTU Aero Engines AG, recently announced the formation of a separate department, Additive Manufacturing, to explore conceptual designs of applications and constructions from a bionics viewpoint, push the development of the production technology forward, and industrialize the entire process chain. Dr. Jürgen Kraus has assembled a team of around 30 professionals from various technical disciplines: design engineers, structural mechanics engineers, process specialists, and operations scheduling experts.
  • GE Additive recently released an update to its Concept Laser M2 cusing and M2 cusing Multilaser machines to provide aerospace, automotive, medical customers with an increased level of productivity and reliability. The upgrades include a new gas flow system and a higher build chamber with a z-axis of 350 mm and newly designed heating.

Equipment Chatter

  • A two-zone walk-in temperature humidity cycling room was recently shipped by Tenney Environmental announced the shipment of a two- zone walk-in temperature humidity cycling room to replicate negative pressure housing conditions to test door locks during the design phase. In addition, Tenney announced shipment of a vacuum temperature space simulation system for the manufacturer of laser guidance modules for satellites and other space equipment that is used to assure precise locations of equipment while they are docking together.
  • A manufacturer of recreational vehicles recently received shipment of a gas-fired aluminum stack melting and holding furnace from Lindberg/MPH to provide additional melting capacity and efficiency for a new die casting machine installation. Lindbergh/MPH also recently announced shipment of a box furnace with retort to a laboratory in Canada to be used to test parts in a hydrogen atmosphere. The temperature range is 212°F to approximately 2200°F and the customer will run it at a maximum temperature of 1922°F.
  • A natural gas-fired enhanced duty walk-in furnace was recently manufactured for a transportation technology company by Wisconsin Oven Company to be used for heat treating baskets of aluminum parts. The heat-treating equipment has a maximum temperature rating of 600°F (315°C) and has sufficient capacity to heat 1,312 pounds (5,952 kg) of aluminum from 70°F (21°C) to 482°F (250°C) within 120 minutes when loaded into an ambient oven. Wisconsin Oven Company also manufactured a custom electrically heated enhanced duty walk-in oven for an aerospace parts manufacturer to be used for curing composites. The maximum operating temperature of this composite curing oven is 500°F.
  • An order for advanced tubes has been received by Sandvik Materials Technology from a company related to the energy segment.

Kudos Chatter

  • The Buehler Wilson® Reference Block Laboratory in Binghamton, New York, has achieved accreditation to ISO/IEC 17025 by A2LA (American Association for Laboratory Accreditation) for Rockwell, Knoop, Vickers, and Brinell hardness test blocks and indenters. A2LA is in full conformance with the standards of the International Organization for Standardization (ISO) and the International Electro-Technical Commission (IEC), including ISO/IEC 17025. Buehler markets the reference blocks along with the Wilson hardness testers and DiaMet software globally.
  • The world’s largest independent Pratt & Whitney Canada authorized PT6A Designated Overhaul Facility (DOF) with distribution rights on certain engine models, StandardAero, is celebrating its second anniversary as a chosen supplier of PT6A engine maintenance to business aircraft manufacturers Textron Aviation.

 

Heat Treat Today is pleased to join in the announcements of growth and achievement throughout the industry by highlighting them here on our News Chatter page. Please send any information you feel may be of interest to manufacturers with in-house heat treat departments especially in the aerospace, automotive, medical, and energy sectors to the editor at editor@heattreattoday.com.

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Texas Steelmaker Acquires Rebar and EAF Mills from Gerdau

Barbara Smith, president and CEO of Commercial Metals Co.

Four electric arc furnace (EAF) steel mills in Knoxville, Tennessee; Jacksonville, Florida; Sayreville, New Jersey; and Rancho Cucamonga, California, as well as 33 rebar fabrication facilities are among the assets included in an acquisition agreement between steelmaker Commercial Metals Co. (CMC), located in Irving, Texas, and Brazil-based steelmaker Gerdau S.A..

CMC operates heat treating and related facilities in Ohio, Pennsylvania, and Alabama, in addition to steel mills, fabrication facilities, and other operations throughout the world. The mills and facilities included in Gerdau’s divestment have annual rolling capacity of 2.5 million tons, increasing CMC’s global melt capacity to 7.2 million tons.

“This acquisition aligns with our strategy to focus on our strength in concrete reinforcing products and leverages CMC’s core competencies in rebar production and value-added fabrication services to non­residential construction customers,” said Barbara Smith, president and CEO of CMC. “In addition, these assets provide us the opportunity to optimize our product mix more fully in the U.S. As a leader in rebar manufacturing technology and customer service, we are excited to take advantage of our expertise to increase throughput, lower costs and improve the customer experience in our new operations.”

The deal, which is expected to close before the end of 2018, would leave Gerdau with three fabrication shops in the U.S..

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