Indalex to Launch 2007 Manufacturing Investment Plan

LINCOLNSHIRE, Ill., Jan. 5 /PRNewswire/ -- Indalex Holding Corp. will launch its 2007 Manufacturing Investment Plan during the first quarter of the year, the company announced today.
The company plans to invest more than $20 million as part of its 2007 Manufacturing Investment Plan to align capacity with the needs of the market and to provide customers with needed capabilities. Highlights of the plan include:

    * Acquisition and installation of a new, 6000-ton UBE extrusion press to
      be installed during the second quarter of 2008.
    * Acquisition of an advanced Brite Dip operation to be installed at the
      company's Modesto, CA facility. The Brite Dip line is expected to be
      operational by March this year.
    * Completion of a press upgrade at the company's Burlington, NC plant. The
      investment will allow a 3500-ton press previously dedicated only to
      aluminum coil products to also produce extruded shapes.

Indalex has also announced plans to close its Watsonville, CA extrusion facility by the end of March or early April this year to align manufacturing capacity with the needs of the market. Customers currently served by the Watsonville facility will be serviced from the expanded Modesto plant.

The Watsonville plant currently has approximately 99 full-time employees who are actively working. Active unionized employees are members of the United Brotherhood of Carpenters and Joiners of America, Local 505. Forty-six unionized employees are currently on layoff.

"Indalex continues to invest in our manufacturing network to ensure we provide the required capacity and capabilities to meet the needs of our customers in a changing marketplace," said Tim Stubbs, President and Chief Executive Officer, Indalex Holding Corp.

"The decision to close the Watsonville facility is unfortunate, but necessary to align our manufacturing capacity and capabilities to the needs of the local market and our customers. It is also management's goal to treat our Watsonville employees with dignity and respect during this period of transition in their lives," he added.