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ThyssenKrupp AG
ThyssenKrupp AG (FWB: TKA, LSE: THK) is a large German industrial conglomerate, with more than 200,000 employees. The corporation consists of 670 companies worldwide. ThyssenKrupp is one of the world's largest steel producers. It operates worldwide in three business areas: steel, capital goods, and services. The steel unit concentrates on carbon steel and stainless steel, while the capital goods unit consists of three segments: elevators, automotive (parts, sub-assemblies, and modules), and technologies (machine tools, large-diameter bearings, cement plants, bulk material handling systems, chemical / refining plants and industrial doors). The services sector provides tailor-made materials, environmental services, mechanical engineering, and scaffolding services. The company is the result of the 1999 merger of Thyssen and Krupp, and is headquartered in D¨¹sseldorf. The largest shareholder is the Alfried Krupp von Bohlen und Halbach Foundation.
Products and sales
ThyssenKrupp generates 33% of its consolidated sales on its home market. The rest of the EU (European Union) (28%) and the NAFTA region (21%) are the key foreign regions for its business outside Germany. ThyssenKrupp companies hold leading positions with their products in numerous international markets.
Mergers and acquisitions
In 1978, during a period of expansion, Thyssen AG entered the North American automotive industry with the acquisition of Budd's automotive operations,[3] which became the automotive division of Thyssen and operated in North America as Budd Thyssen, now ThyssenKrupp Budd Co. In October 2006, its body and chassis operations were sold to Martinrea International Inc.[4]
ThyssenKrupp itself is the result of the 1999 merger of Thyssen and Krupp. In 2005, ThyssenKrupp acquired Howaldtswerke-Deutsche Werft (HDW) in Kiel from One Equity Partners. ThyssenKrupp Marine Systems (TKMS) is now the most important European group of shipbuilders. In addition to HDW, Blohm + Voss in Hamburg as well as Nordseewerke at Emden are also subsidiaries of TKMS. One Equity Partners holds 25% of the TKMS shares.
In 1999, ThyssenKrupp acquired the American based Dover Elevator Company.
In December 2005, ThyssenKrupp acquired 60% of Atlas Elektronik from BAE Systems, with EADS acquiring the remaining 40%.
In August 2007, ThyssenKrupp Materials North America acquired OnlineMetals.com, a small-quantity distributor of semi-finished metals and plastics based in Seattle, WA.
In early 2008, ThyssenKrupp Aerospace acquired Apollo Metals and Aviation Metals, both suppliers to aerospace and defence.
New Alabama stainless and carbon steel facilities
On May 11, 2007, ThyssenKrupp AG announced an investment of €3.1 billion (US$4.19 billion) for building new carbon steel and stainless steel processing facilities in southern Alabama.[5] The announcement came after several months of competition between a site on the Mississippi River in Convent, Louisiana, and a site on the Tombigbee River, near Mount Vernon, Alabama, in Mobile County, about 30 miles north of Mobile.
ThyssenKrupp Steel USA [1], which represents seventy percent of the project investment, is building a hot strip mill, cold rolling mill, and four galvanizing lines. ThyssenKrupp Stainless USA is building a melt shop and cold rolling mill. Both companies are independent and operate under different management teams. When completed in the spring of 2010, the facilities will process a combined total of 5.1 million metric tons of carbon and stainless steel annually for sale in the NAFTA market and will employ a combined total of 2,700 people.
Additionally, the Alabama State Port Authority is investing over $100 million to build a slab terminal on the southern tip of Pinto Island in Mobile Bay to service the raw material for the carbon steel facility.
The project, alsong with a multi-billion dollar steelmaking facility currently under construction in Brazil, is a cornerstone of ThyssenKrupp Steel's new global expansion strategy into the North American and NAFTA high-value carbon steel markets.
ThyssenKrupp Stainless project delays
On January 23, 2009, ThyssenKrupp announced that in response to the weakened North American stainless steel market and the detoriating global economy, the production startup date for the cold rolling line for ThyssenKrupp Stainless USA would be delayed at least one year while its meltshop would be further delayed until the last quarter of 2011.
ThyssenKrupp Steel USA spokesperson Scott Posey announced that there were no changes to the carbon steel segment's schedule and that the company was expected to begin its operations in spring of 2010 as originally planned.
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