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8-K - FORM 8-K - American Railcar Industries, Inc. | c15742e8vk.htm |
Exhibit 99.1
News Release
For Release: April 20, 2011
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Contact: | Dale C. Davies | ||
Michael Obertop | ||||
Phone: | 636.940.6000 |
AMERICAN RAILCAR INDUSTRIES, INC. ANNOUNCES PLAN TO RESTART PRODUCTION
AT ITS OHIO CASTINGS JOINT VENTURE
AT ITS OHIO CASTINGS JOINT VENTURE
ST. CHARLES, MO (April 20, 2011) American Railcar Industries, Inc. (NASDAQ: ARII) (the Company
or ARI) announced today that Ohio Castings board of directors approved a plan to restart
production at its railcar castings facility in Alliance, Ohio. ARI continues to remain Agile,
Responsive and Innovative to meet the needs of its customers and shareholders.
We are very excited to announce the plan to resume production at Ohio Castings, said President
and CEO James Cowan. The decision to restart production was based primarily on strengthening
demand for new railcars. We expect this decision will prove beneficial as we ramp up railcar
production in the second half of 2011.
Ohio Castings was temporarily idled in June 2009 due to weak demand in the new railcar market. Over
the past several months, ARI has seen an increase in new railcar quotes, orders and backlog. In
response to the increase in demand, Ohio Castings is expected to begin shipping castings during the
third quarter of 2011.
ARI is a one-third owner of Ohio Castings, which provides ARI and the other partners access to
railcar castings at a favorable price. Railcar castings, which historically have been subject to
supply constraints, are a critical railcar component.
About American Railcar Industries, Inc.
American Railcar Industries, Inc. is a leading North American designer and manufacturer of hopper
and tank railcars. ARI also leases, repairs and refurbishes railcars, provides fleet management
services and designs and manufactures certain railcar and industrial components. ARI provides its
railcar customers with integrated solutions through a comprehensive set of high quality products
and related services.
Forward Looking Statement Disclaimer
This press release contains statements relating to the Companys and the Companys joint ventures
expected financial performance, future business prospects, events, plans, production schedules,
demand, orders, objectives, expectations and intentions that are forward-looking statements.
Forward-looking statements represent the Companys estimates and assumptions only as of the date of
this press release. Such statements include, without limitation, statements regarding the railcar
industry, and potential improvements therein, the potential increased order activity, the Company
and the Companys joint ventures prospects, the anticipated market and market acceptance for
railcars and railcar castings and anticipated customer demands. These forward-looking statements
are subject to known and unknown risks and uncertainties that could cause actual results to differ
materially from those anticipated. The Company and the Companys joint venture operations involve
numerous risks and uncertainties, including without limitation, difficulties associated with
production start-up, pricing, market demand, delays and unexpected costs. Other potential risks and
uncertainties relating to ARIs business are described in ARIs filings with the Securities and
Exchange Commission. ARI expressly disclaims any duty to provide updates to any forward-looking
statements made in this press release, whether as a result of new information, future events or
otherwise.