Difficult economic times and the events of September 11, have lead to Special Metals Corp. filing for voluntary Chapter 11 reorganisation under the US Bankruptcy Code. This covers the company and all of its subsidiaries.
The re-organisation is hoped to improve the company’s short term liquidity and help to make it more competitive, until the economy turns, as well as building a strong base for the future. The chapter 11 filing is not expected to affect the day to day running of the company.
This announcement follows the January 31 announcement the Special Metals would commence a restructure to reduce costs by an estimated $5million per annum, as well as streamlining the organisation. The restructure was also intended to provide more focus on its core business.
The chapter 11 filing does not affect Special Metals operations in the U.K., France, Italy, Canada and the Far East.