The Timken Company Intends to Close Columbus Railroad Bearing Plant

Rail Bearing Production to Move to Other Timken Plants



Apr 26, 2001, 01:00 ET from The Timken Company

    CANTON, Ohio, April 26 /PRNewswire/ -- Last week, The Timken Company
 (NYSE:   TKR) announced the second phase of its transformation to a global
 enterprise.  Part of this phase is an aggressive reduction in the company's
 costs and asset base.  Central to this initiative is achieving $100 million in
 annual cost savings and providing a stronger foundation for profitable growth.
     (Photo:  http://www.newscom.com/cgi-bin/prnh/19991012/TKRLOGO )
     Today the company announced that as part of this transformation it intends
 to close its Columbus railroad bearing manufacturing plant, transferring
 operations there to other Timken facilities.
     "To operate competitively in this continuing weak rail equipment market,
 our rail business is taking aggressive action," says Vinod K. Dasari,
 president - rail. "By restructuring our manufacturing operations, we position
 the business for long-term success and at the same time strengthen The Timken
 Company's financial performance."
     The Columbus plant employs 219 associates -- 39 salaried, 180 hourly
 associates.  The announcement was made at the plant after notification to the
 United Steel Workers Local 2173, which represents the hourly associates.  The
 plant would continue to operate for another 6 - 12 months to continue full
 service to customers while operations are moved to other Timken facilities. An
 implementation team at the plant will develop the details of the transition
 within the next month.
     "Over the last year, we have challenged ourselves to improve our
 competitiveness in the rail market. Our rail business associates, especially
 those in the Columbus plant, have worked hard to accomplish that," said Mr.
 Dasari.  "But after much analysis, we concluded that the aging infrastructure
 and high fixed costs could not be sustained in today's market conditions. As
 such, it is our intention to move the operations to other facilities while, at
 the same time, implementing significant process enhancements and technological
 advances."
     Since the 1930s, The Timken Company has manufactured tapered roller
 bearings for the rail industry. Timken is a leader in providing original
 equipment and replacement bearings as well as bearing refurbishment for
 passenger and freight systems around the world.  The Columbus plant
 manufactures Timken AP(TM) (All Purpose) and AP-2(TM) tapered roller bearings.
 The Timken Company (NYSE:   TKR) ( http://www.timken.com ) is a leading
 international manufacturer of highly engineered bearings, alloy and specialty
 steels and components, as well as related products and services. With
 operations in 24 countries, the company employs about 20,500 people worldwide
 and recorded 2000 sales of U.S. $2.6 billion.
     Certain statements in this news release that are not historical in nature
 are forward-looking. In particular, statements regarding the amount of savings
 the company expects to realize as a result of the transformation plan
 described in this release are forward-looking. The company cautions that
 actual results may differ materially from those projected or implied in
 forward-looking statements due to a variety of important factors, including
 the company's inability to achieve the expected benefits of its transformation
 program and unexpected costs related to the implementation of the
 transformation. These and additional important factors are described in
 greater detail in the company's 2000 Annual Report, page 39, and in the
 company's Annual Report on Form 10-K for the year ended December 31, 2000. The
 company undertakes no obligation to update any forward-looking statement.
 
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SOURCE The Timken Company
    CANTON, Ohio, April 26 /PRNewswire/ -- Last week, The Timken Company
 (NYSE:   TKR) announced the second phase of its transformation to a global
 enterprise.  Part of this phase is an aggressive reduction in the company's
 costs and asset base.  Central to this initiative is achieving $100 million in
 annual cost savings and providing a stronger foundation for profitable growth.
     (Photo:  http://www.newscom.com/cgi-bin/prnh/19991012/TKRLOGO )
     Today the company announced that as part of this transformation it intends
 to close its Columbus railroad bearing manufacturing plant, transferring
 operations there to other Timken facilities.
     "To operate competitively in this continuing weak rail equipment market,
 our rail business is taking aggressive action," says Vinod K. Dasari,
 president - rail. "By restructuring our manufacturing operations, we position
 the business for long-term success and at the same time strengthen The Timken
 Company's financial performance."
     The Columbus plant employs 219 associates -- 39 salaried, 180 hourly
 associates.  The announcement was made at the plant after notification to the
 United Steel Workers Local 2173, which represents the hourly associates.  The
 plant would continue to operate for another 6 - 12 months to continue full
 service to customers while operations are moved to other Timken facilities. An
 implementation team at the plant will develop the details of the transition
 within the next month.
     "Over the last year, we have challenged ourselves to improve our
 competitiveness in the rail market. Our rail business associates, especially
 those in the Columbus plant, have worked hard to accomplish that," said Mr.
 Dasari.  "But after much analysis, we concluded that the aging infrastructure
 and high fixed costs could not be sustained in today's market conditions. As
 such, it is our intention to move the operations to other facilities while, at
 the same time, implementing significant process enhancements and technological
 advances."
     Since the 1930s, The Timken Company has manufactured tapered roller
 bearings for the rail industry. Timken is a leader in providing original
 equipment and replacement bearings as well as bearing refurbishment for
 passenger and freight systems around the world.  The Columbus plant
 manufactures Timken AP(TM) (All Purpose) and AP-2(TM) tapered roller bearings.
 The Timken Company (NYSE:   TKR) ( http://www.timken.com ) is a leading
 international manufacturer of highly engineered bearings, alloy and specialty
 steels and components, as well as related products and services. With
 operations in 24 countries, the company employs about 20,500 people worldwide
 and recorded 2000 sales of U.S. $2.6 billion.
     Certain statements in this news release that are not historical in nature
 are forward-looking. In particular, statements regarding the amount of savings
 the company expects to realize as a result of the transformation plan
 described in this release are forward-looking. The company cautions that
 actual results may differ materially from those projected or implied in
 forward-looking statements due to a variety of important factors, including
 the company's inability to achieve the expected benefits of its transformation
 program and unexpected costs related to the implementation of the
 transformation. These and additional important factors are described in
 greater detail in the company's 2000 Annual Report, page 39, and in the
 company's Annual Report on Form 10-K for the year ended December 31, 2000. The
 company undertakes no obligation to update any forward-looking statement.
 
                       MAKE YOUR OPINION COUNT -  Click Here
                  http://tbutton.prnewswire.com/prn/11690X20229668
 
 SOURCE  The Timken Company

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