Mill's furnace expansion will mean additional jobs
An increase in aircraft production has helped the titanium industry.
By DON SHILLING
VINDICATOR BUSINESS EDITOR
WEATHERSFIELD -- The RMI Titanium mill here is receiving an $8 million upgrade but was passed over for a larger investment in part due to its union labor contracts, company officials said.
Its parent company, RTI International Metals, announced Thursday that it is spending $27 million to add two furnaces to its Canton plant, in addition to the local investment.
Canton offered financial incentives, including tax abatements, but an additional factor was the nonunion work force at the plant, said Timothy Rupert, president and chief executive of the parent company, which also is based in Weathersfield.
"We have a work force in Canton that is productive, flexible and ready to change with the demands of the market," Rupert said.
Richard Leone, RTI's manager of investor relations, said the company and union at RMI in Weathersfield agreed to some changes in a new contract last year, but more flexibility in work rules is needed.
"We continue to struggle to be competitive with labor leadership that hangs on to outdated and inefficient work rules and practices," he said.
Todd Weddell, president of United Steelworkers of America Local 2155 at the mill, could not be reached to comment.
Labor dispute history
In February 2005, workers approved a 62-month contract after negotiations that included workers being locked out for 13 months.
The Canton plant employs about 100 and is part of the company's RTI Alloys subsidiary. Employment is to increase there by 15 to 20 because of the investment. The new furnaces will melt titanium sponge, scrap and alloys to produce titanium that can be processed.
The investment in the Weathersfield mill will upgrade its forging operations. That equipment takes the titanium from the melting operations and shapes and cuts it.
The local plant has melting, forging and rolling mill operations.
More production, more jobs
Leone said employment at the local mill will continue to grow because of added business at RMI. The number of jobs to be added won't be known until the new melting furnaces are operational, which is scheduled for the end of next year.
The furnaces will increase the company's annual melting capacity from 17 million pounds to 23 million pounds.
RMI and other titanium producers are enjoying a boom as aircraft makers record a large increase in orders. Titanium is used in aircraft parts because of its light weight and strength.
RMI employs about 400 hourly and salaried workers, while the corporate staff adds nearly 100 more.
RTI's stock closed down 54 cents, or 1 percent, Thursday to close at $52.85 a share. Its 52-week trading ranges between $28.25 and $83.33.
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