PITTSBURGH Columbus Scrap Material Inc. has assumed the lease and purchased some of the equipment at Progress Rail Services Corp.s New Hope, Tenn., facility.
"We will continue to pursue new industrial business in the area," a spokesman for the Columbus, Miss.-based recycler said.
A spokeswoman for Albertville, Ala.-headquartered Progress Rail, a wholly owned subsidiary of Caterpillar Inc., said the company had no comment on why it decided to divest one of its three Tennessee recycling operations. The facility was not one of the companys largest scrapyards, she noted.
Columbus Scrap will do some scrap handling for Progress Rail at the facility on a contractual basis, the spokeswoman added.
Progress Rail retained some equipment and sold the balance to Columbus Scrap. The existing work force and management will remain.