Released on April 24, 2009

Grede Foundries Inc., Milwaukee, announced it plans to close its Greenwood Foundry, Greenwood, S.C., within the next 60-90 days.

The Greenwood plant produces gray and ductile iron components for the automotive and other industrial, recreational and agricultural markets. According to Grede Executive Vice President Stewart Davis, the majority of the plant’s customers were automotive, and it had only recently begun producing some ductile parts.

“Those who are in the know in the general manufacturing world know that things are tight and tough out there, especially for those who are tied to automotive or housing starts,” Davis said.

According to a press release issued by Grede, the closing is in response to a downturn in order volumes and a desire to keep the company’s plants at high rates of utilization. Davis said the Greenwood plant is Grede’s least profitable venture. The company expects to transfer a large portion of the work at the Greenwood plant to its other facilities.

The press release also indicated Grede is anticipating further discussions concerning the possible sale of its shell casting plant in Vassar, Mich. According to Davis, the Vassar plant also is primarily engaged in the automotive industry.

Davis said Grede would entertain offers to purchase the Greenwood facility. The company does not expect the closing or sale of either plant to affect its ability to meet the orders of its existing customers. Grede continues to operate seven metalcasting facilities in the U.S.