IIG Purchases Production Equipment

Mar 09, 2011, 17:59 ET from Industrial Insulation Group, LLC

GRAND JUNCTION, Colo., March 9, 2011 /PRNewswire/ -- Industrial Insulation Group, LLC announced today that it has, subject to court approval, reached an agreement to acquire certain production equipment – including mineral wool pipe insulation machines – from Alvarez & Marsal, the Court appointed receiver, of Fibrex Insulations Inc. of Sarnia, Ontario, Canada.

IIG spent the last month evaluating the Fibrex operations with the intention to restarting the Sarnia plant but ultimately there were several conditions that made restarting not feasible for the company.

"Although we were disappointed that IIG was not able to purchase and restart the Sarnia plant, we will be able to transfer the equipment to our Phenix City, Alabama location. Additionally, we continue our efforts to increase pipe insulation capacity as quickly as practical in order to satisfy our customers as well as former Fibrex customers," said IIG CEO, Philippe Delouvrier.

IIG will move and commission the machines to the MinWool 1200 plant in Alabama and hopes to have this enhanced production on stream as expeditiously as possible. The company anticipates the first machine to be operational in July, 2011 and the second in September.

Today IIG is increasing, as much as possible, production of Mineral Wool products, MinWool 1200 and MPT to meet the additional market demand. The company is also making substantial investments to increase the capacity of its present equipment to insure that a reliable source of approved and compliant products- made in North America- remains available.

In the meantime, to meet customers' immediate needs, IIG has excellent alternative products available to the North American industrial marketplace including Thermo-12 Gold Calcium Silicate and Sproule Perlite insulations.

IIG thanks all its stakeholders for their support, patience and cooperation in these challenging times.

About Industrial Insulation Group, LLC: Industrial Insulation Group, LLC is a Calsilite/Johns Manville joint venture. IIG manufactures Thermo-12® Gold calcium silicate pipe and block insulation, Super Firetemp® fireproofing board, Sproule WR-1200® perlite pipe and block insulation, MinWool 1200® and MPT® mineral fiber pipe and board insulation, MinWool® commercial sound attenuation batts, safing and curtainwall insulations, and a variety of associated accessory products. The IIG website can be viewed at www.iig-llc.com.

SOURCE Industrial Insulation Group, LLC