Metaldyne Completes Closure of Three U.S. Locations

PLYMOUTH, Mich., May 9, 2008 -- Metaldyne, LLC has completed the closure of two of its U.S. manufacturing plants and one commercial office to adjust for excess capacity caused by lower vehicle sales from its North American customers and to reduce structural costs in fiscal 2008.

"The economic dynamics in North America has created production softness for some time in the States resulting in excess manufacturing capacity," said Thomas Amato, Metaldyne chairman and CEO, and Asahi Tec co-CEO. "Although these are difficult actions, it is important that we gear our capacity for the production levels we anticipate this fiscal year and going forward."

The company's Farmington Hills, Mich., plant (owned), the Greenville, N.C., plant (owned), and the commercial office located on Genoa Court, in Plymouth, MI (leased) are now closed. All facilities were part of Metaldyne's North American Chassis Group which principally machines suspension components. Greenville's manufacturing production lines were transferred to Metaldyne's facility in Whitsett (Greensboro), N.C. Production from the Farmington Hills operation was moved to the company's New Castle, Ind., plant and other facilities in North America. Employees at Metaldyne's Genoa Court office were relocated into Metaldyne's operations office in Plymouth, Mich.

The owned properties are currently being marketed for disposition and the leased property will not be renewed at the end of the lease term.

Metaldyne has consistently rationalized its U.S. manufacturing footprint from 23 plants to 14 plants over the past three years to address growth outside of North America and rationalize its U.S. cost structure. The company currently has 18 manufacturing plants in the Americas, 12 in Europe, and three in Asia, although Asahi Tec, Metaldyne's parent, rounds out the balance in Asia with 13 manufacturing plants.

"We see our balanced manufacturing footprint as providing options and value to our customers to support their growth globally," said Amato.

About Metaldyne

Metaldyne is a wholly owned subsidiary of Asahi Tec, a Shizuoka, Japan based metal casting and finishing supplier in the passenger car/light truck, medium/heavy truck, and also in the environmental and industrial segments. Asahi Tec is listed on the Tokyo Stock Exchange.

Metaldyne is a leading global designer and supplier of metal-formed components and assemblies for engine, transmission, and chassis applications including engine connecting rods, transmission valve bodies, crankshaft dampers and pulleys, machined wheel end components, forged and finished differential gears and assemblies, and balance shaft modules.

Headquartered in Plymouth, Mich., Metaldyne has annual revenues of approximately $1.8 billion. The company employs more than 6,500 employees at 33 facilities in 14 countries.

For more information, please visit METALDYNE .