Fushi International Greenlights $3.2 Million Expenditure in Equipment for Tennessee Plant
FAYETTEVILLE, Tenn., Nov. 26 /Xinhua-PRNewswire-FirstCall/ -- Fushi International Inc. (Nasdaq: FSIN), the leading global manufacturer of bimetallic wire used in a variety of telecommunication, automotive, utility and other industrial products, today announced that the company will invest approximately $3.2 million (USD) in new machinery for its Copperweld facility in Fayetteville, Tenn.
The Tennessee operation is expected to serve as an important contributor to Fushi’s future growth, and has resulted in management’s investment in new machinery for the plant just one month after finalizing the purchase of American market leader Copperweld Bimetallics LLC. The equipment will enable the drawing, bunching and stranding of CCA (copper-clad aluminum) wire for the rapidly growing energy sector. It will bolster Copperweld’s ability to manufacture a wider array of finished goods directly and allow them to discontinue outsourcing some phases of their production to other companies.
“By expanding our product line we will reverse some of the value migration we have experienced here in years past,” says Fushi COO Chris Finley, who oversees worldwide manufacturing and sales for Fushi, including Copperweld’s Fayetteville plant. “Fushi management in China wants the Tennessee facility to grow its operation and move further along the value-added supply chain. Adding these new capabilities will make us a stronger competitor and allow us to offer a more diverse product line in a number of very important strategic markets.”
Fushi’s facility in Dalian, China, specializes in CCA and has developed the capability to draw bimetallic wire down to diameters as small as 0.03 millimeters- about one-fifth that of the average human hair. The wire’s lightweight aluminum core is bonded to an outer copper strip. The combination of the two metals has unlimited potential in a range of applications, and can compete in almost any sector where solid copper wire is currently used, offering increased value and flexibility with no sacrifice in performance.
“The Copperweld brand has a long and strong history in utility and telecommunications applications. We are now preparing to add to our market share in energy applications both here in America and globally, with customers as varied as automotive suppliers, appliance companies and electronics’ manufacturers, who use a variety of wire constructions. We’re very pleased to be manufacturing these exciting new products here in Fayetteville,” says Finley.
The new machinery, to be installed in the first quarter and operational in the second quarter of 2008, is all the more significant because its arrival so closely follows a trade mission made by Tennessee Governor Phil Bredesen to China, during which he met with Fushi leadership. “Fushi’s investment in Copperweld demonstrates their commitment to ensuring the long-term operations in Fayetteville are stable and ripe for future economic growth,” says Matt Kisber, commissioner of Tennessee’s Department of Economic and Community Development. “I’m proud that Fushi has seen the great potential in the people of Fayetteville and am thankful for its continued investment in Tennessee.”
About Fushi International
Fushi International Inc. through its wholly-owned subsidiaries, Fushi International (Dalian) Bimetallic Cable Co. Ltd., and Copperweld Bimetallics LLC, manufactures bimetallic composite wire products, principally copper-clad aluminum (CCA) and steel (CCS) wire. CCA and CCS offers greater value relative to solid copper wire in a wide variety of applications such as coaxial cable for cable television and various video and data applications, signal transmission lines for telecommunication networks, distribution lines for electricity, electrical transformers, wire components for electronic instruments and devices, utilities, appliances, automotive, building wire and other industrial wires. For more information on Fushi, visit the website: http://www.fushiinternational.com .
Safe Harbor Statement
This press release may contain forward-looking statements concerning Fushi International’s business and products. The actual results may differ materially depending on a number of risk factors including, but not limited to, the following: general economic and business conditions, development, shipment, market acceptance, additional competition from existing and new competitors, changes in technology, and various other factors beyond its control. All forward-looking statements are expressly qualified in their entirety by this Cautionary Statement and the risks factors detailed in Fushi International’s reports filed with the Securities and Exchange Commission. Fushi International undertakes no duty to revise or update any forward-looking statements to reflect events or circumstances after the date of this release.
For more information, please contact:
Media:
Thomas Horton, Lead Consultant
Mind Cartel Marketing & Public Relations
Tel: +1-615-428-3333
Email: tom@mindcartel.com
Investors:
Nathan J. Anderson, Director of Investor Relations
Fushi International Inc.
Email: nathan.anderson@fushiinternational.com
Bill Zima & Ashley Ammon MacFarlane
ICR Inc.
Tel: +1-203-682-8200
