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Press Releases : 2008


CITATION CORPORATION
27275 Haggerty Road
Suite 420
Novi, MI 48377
(248) 522-4500

April 24, 2008

Citation Corporation to Discontinue Operations at Butler, Ind., Foundry
 

Novi, Michigan, April 24, 2008  Citation Corp. today announced that it will idle its Butler, Ind., permanent and semi-permanent aluminum molding operations by the end of July 2008, transferring production and equipment to foundries located in Bristol, Ind., and Milwaukee, Wisc., owned by Diversified Machine Incorporated (DMI).  The transition is part of Citation’s long-term business strategy aimed at enhancing its manufacturing efficiencies and refocusing on core competencies.  
 
“Exiting permanent and semi-permanent molding allows us to focus on the growing sectors of our foundry business,” said Citation’s Chief Executive Officer Doug Grimm. “This strategic decision supports capital investments we’ve made in our ductile iron and die casting businesses and positions Citation to better support our customers served by these core business areas.”  
 
Citation employs 138 workers at its Butler facility, which manufactures permanent molded aluminum suspension and brake components for the automotive industry. The company anticipates gradually transitioning business and reducing its workforce starting in May. Displaced employees will receive job counseling through the local Bureau of Workforce Development and the Department of Commerce and Economic Opportunity.
 
“We continue to focus our strategy on opportunities that enable us to meet our long-term business objectives,” added Grimm. “Divesting a non-core business is a logical step in that process and will ensure Citation remains a strong and viable company.”
 
The Butler division has been part of Citation since 1996 when Citation acquired Bohn Aluminum Corp.
 
Citation is a privately held corporation headquartered in Novi, Michigan. Citation employs 2,700 associates in Alabama, Texas, Indiana, Michigan, North Carolina and Wisconsin. The company designs, develops and manufactures high-quality cast, machined and assembled components for the automotive, heavy truck and industrial markets.

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For more information, contact: Cindy Carey, The Millerschin Group at 248-276-1970
ccarey@millerschingroup.com