Worthington Industries Buys Gibraltar's Steel Processing Business

Worthington Industries, Inc. (NYSE: WOR), Columbus, OH, announced its Steel Processing business segment has acquired the steel processing assets of Gibraltar Industries, Inc. (NASDAQ: ROCK). The acquisition will expand the capabilities of The Worthington Steel Company's cold rolled strip business.

"This is an excellent growth opportunity for Steel Processing to add higher margin business, while enhancing our capacity to serve existing customers, and new customers in new markets," said John McConnell, CEO of Worthington Industries. "Worthington Steel has shown continued improvement and profitability during tough economic conditions largely due to its Transformation efforts. The addition of this business will help accelerate our efforts to increase the earnings capacity of Worthington Steel."

Worthington acquired Gibraltar's Cleveland facility with the added capabilities to roll wider and lighter gauge material along with oscillate slitting. Also included in the transaction were the equipment and inventory of Gibraltar's Buffalo facility, and a warehouse facility in Detroit (Integrated Terminals).

As it exits the steel processing business, Gibraltar plans to begin an orderly process of closing the Buffalo facility and working with Worthington Steel to coordinate customer accounts as they are transferred to Cleveland and Columbus, OH.

Worthington also acquired a 31% interest in Samuel Steel Pickling, a joint venture with operations in Cleveland and Twinsburg, OH.