ATI announces $95 million expansion in Cudahy
Allegheny Technologies Incorporated (ATI), a global manufacturer of technically advanced specialty materials and complex components, recently announced it will expand its operations in Cudahy.
The $95 million project is expected to create about 125 jobs and help the company meet the growing demand of the aerospace jet engine market. ATI currently maintains three iso-thermal presses at its Cudahy iso-thermal forging center and is adding a fourth, along with additional heat-treating capacity, to keep up with aerospace market customer demand.
It will take about three years to complete the expansion and become fully qualified for aerospace-related production. Once finished and qualified, the growth project will enable ATI to meet the increasing production requirements for its existing long-term agreements with engine original equipment manufacturer (OEM) partners.
“We continue to invest in our advanced forging capabilities in support of our aerospace customers’ ramp-up of next-generation jet engine production,” said Rich Harshman, ATI’s chairman, president and CEO. “Once completed and fully qualified, this critical growth project will enable us to meet the increasing production requirements for existing long-term agreements with our engine OEM partners.”
To help ensure the expansion occurs in Wisconsin, WEDC is awarding the company up to $7 million in state income tax credits over the next seven years under its Enterprise Zone Tax Credit Program. The actual amount of tax credits ATI receives is contingent on the number of jobs created and retained, as well as the amount of capital investment over that time.
More than 50 percent of ATI’s sales are in the aerospace and defense markets. The company also has a strong presence in the oil and gas, electrical energy, medical and automotive markets. ATI purchased Ladish Co. Inc. in 2011 and rebranded the Cudahy operation as ATI Forged Products. It currently employs about 700 workers at the 1.4-million-square-foot Cudahy plant, which manufactures highly engineered forgings and machined components, like iso-thermal jet-engine forgings.
“This investment by ATI solidifies the company’s continued commitment to Wisconsin and the Milwaukee area, and is a testament to the strength of our manufacturing and aerospace industries,” said Mark R. Hogan, secretary and CEO of WEDC. “It is also an example of WEDC’s ongoing commitment to economic development in Milwaukee County.”
WEDC has invested nearly $59 million in Milwaukee County since 2011 for projects expected to create or retain 17,700 jobs.
