Released on June 27, 2008

Foseco plc, Staffordshire, U.K., which recently came under new ownership, announced it plans to close its Guelph, Ontario, complex by the end of the year.

The site houses administrative offices, operations of the Foseco-Morval lost foam division and a warehouse of the Foundry and Steel divisions of Foseco Canada Inc. Foseco-Morval will cease operations on Oct. 31, and the Foseco Canada warehouse will close on Dec. 31. Forty-four employees will be affected.
 
According to Foseco-Morval CEO and President Brian Alquist, the company currently is in “negotiations with another lost foam company to transfer [their] Guelph operations to a new location.” It also is seeking a new location for its warehouse.
 
“The plan to discontinue the operations of Foseco-Morval in Guelph represents a difficult decision based on a sharp decline in the market for lost foam castings and a corresponding reduction in revenue,” Alquist said. “We are looking to consolidate operations in Canada in an effort to remain competitive in a tough North American market.”

Foseco, which was purchased by the Cookson Group Plc, London, at the end of April, supplies a variety of metalcasting consumable products in addition to lost foam patterns. The group operates 29 production facilities in 17 countries, with major operations in Germany, U.S., U.K., Brazil, China, India, South Korea and Japan.