CHICAGO Timken Co.s new standalone steel company will include about 3,000 employees in seven manufacturing plants, four warehouses and five sales offices.
The Canton, Ohio-based company, which has a steelmaking capacity of 1.8 million tons per year, will continue to produce large-diameter special bar quality products for industrial markets and seamless mechanical tubing. Timkens board expects strong prospects for growth and margin improvement at the steel business, which over the past decade increased margins, lowered its break-even point and streamlined its supply chain.
Post separation, Timkenconsisting of the Process Industries, Aerospace and Mobile Industries segmentswill have an estimated annual revenue of $3.4 billion, producing bearings and related mechanical power transmission components and services, with nearly 17,000 workers at 35 manufacturing plants, 25 service and repair facilities, four technology centers and a network of sales offices and warehouses.
After the spinoff is completed, Richard G. Kyle, 47, will be Timkens new president and chief executive officer, while Ward J. "Tim" Timken Jr., 46, will lead the steel company as chairman and chief executive officer.