TPi October 2011

business & market news

Wolverine Tube exits Chapter 11 Wolverine Tube, Inc, a leader in advanced metal surface technology enhancements for heat transfer solutions, has emerged from Chapter 11 bankruptcy protection, with effect from 28 June 2011, pursuant to a Plan of Reorganization approved by the US Bankruptcy Court for the District of Delaware. to meet its foreseeable working capital and capital investment needs.”

their support through this reorganisation process,” said Harold M Karp, president and chief operating officer. “Our business plan will focus on improving positive operating income, free cash flow, and strengthening our competitiveness through continuous improvements and new product development. We are well positioned to compete successfully.” Wolverine offers proprietary custom- engineered components that provide a thermal management solution for customers in multiple markets including HVAC, refrigeration and appliance, electronics cooling, power generation, petrochemical and chemical processing.

Under the plan, $139mn of senior secured notes and accrued interest at the petition date has been converted to equity plus a $30mn note. The company’s defined pension plan was terminated and assumed by the Pension Benefit Guaranty Corporation (PBGC) in exchange for 5% equity in the company and a stream of payments over 11 years with a present value of approximately $13mn. The company exits Chapter 11 as a privately held company with its former senior secured noteholders holding a substantial majority of the stock. All old Wolverine common and preferred shares are cancelled.

“As planned, Wolverine maintained its business as usual through the reorganisation process, paid all unsecured creditors in full, and successfully completed the restructuring with significantly reduced debt,” said Steven S Elbaum, chairman of Wolverine. “As a result, Wolverine has a manageable amount of debt, tangible net equity of an estimated $60-$70mn (subject to confirmation of the ‘fresh start’ accounting) and adequate liquidity

“We are very grateful to our employees, customers, suppliers and partners for Wolverine Tube, Inc – USA www.wlv.com Accelerating deployment of metallic water pipeline inspection technologies

said Dave Russell, president of PICA. “Our direct condition assessment services are an integral part of asset management programmes for clients worldwide. Wachs Water Services is currently delivering several of the largest water network renewal projects in North America and their clients will be able to immediately benefit from PICA’s proven metallic pipeline inspection capabilities as well.” “The alliance timing is excellent as PICA recently opened a newoffice inCharlotte, North Carolina,” added Chris Garrett, general manager of PICA USA. “There is a growing demand for our proven pipeline inspection technologies, and this alliance with Wachs Water Services will allow us to further expand our footprint to better service the market.”

segments are still in good shape,” said Cliff Wilson, president of Wachs Water Services. “We are very excited to have established this alliance with PICA, and we continue to build a portfolio of industry leading pipeline inspection technologies to ensure that our clients have the right tool for the job.” PICA technologies can be applied to either distribution or transmission mains, and provide accurate measurements of the remaining wall thickness of the pipeline. The patented technologies travel through the inside of a water main and use an electromagnetic field that can both detect and size graphitisation, pitting, erosion and cracks – even through liners, scale and tuberculation. PICA’s metallic pipeline assessment Hydrasnake™ portfolio offers strong synergies with Wachs Water Services in-line leak detection and pressurised main CCTV offerings, the LDS1000™ and Investigator™. “We are investing in this alliance because we believe that there is a tremendous opportunity for utilities to get ahead of the aging water infrastructure crisis,”

Wachs Water Services and Pipeline Inspection & Condition Analysis Corporation (PICA) have formed a strategic alliance based on a shared vision of helping utilities better manage aging water distribution infrastructure. The alliance will develop and deploy specialised metallic pipeline inspection technology solutions through collaborative R&D, manufacturing and marketing. With an estimated 240,000 water main breaks each year in the US alone, it is becoming critical for utilities to determine the actual condition of metallic water mains to proactively reduce breaks and improve cost effectiveness of water main repair, lining or replacement programmes. The aligned offering of Wachs Water Services and PICA will provide water system operators and owners the ability to extend the reliable life expectancy of water pipelines. “There are many factors that influence the condition of a water pipeline. The trick is to have actual information to determine which segments need to be replaced, which can be lined and which

Wachs Water Services – USA info@wachsws.com www.wachsws.com

Pipeline Inspection & Condition Analysis Corp – Canada

info@picacorp.com www.picacorp.com

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Tube Products International October 2011

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