Volume 35, Number 8, August 2000

 

NEWSNOW

                            latest news developments

Arch Aluminum to Purchase Tempa Glass

Arch Aluminum & Glass Co. announced several business expansion and improvement plans in August. The company has signed a letter of intent to purchase the assets of the former Tempa Glass International Inc. tempering facility in Portland, Ore. This facility houses the world’s largest custom tempering furnace, capable of tempering glass up to 132- by 220-inches. According to the company, this furnace combined with Arch’s 120- by 216-inch furnace in Tamarac, Fla., makes Arch the only supplier capable of oversize glass needs coast-to-coast and beyond. According to chief executive officer Leon Silverstein, “the addition of the huge West Coast furnace will enable us to enter new markets for the first time. We also expect to expand on the export and specialty business this facility has previously targeted.” With this acquisition, Arch will operate 12 custom tempering facilities.

Additionally, the company will install a state-of-the-art glass laminating line at its Waukesha, Wis., facility. The 84-inch line will include a Melco Steel autoclave and will produce laminated glass products from 3/16- to 3-inch thickness for the impact, transportation, security and bullet-resistant markets.

Arch is also upgrading its Ft. Pierce, Fla., laminating facility which will increase the plant’s capacity by more than 50 percent. With the addition of the Waukesha line, Arch’s nationwide capacity will more than double.

In other company news, Arch Aluminum and InterEdge Technologies jointly announced an agreement that Arch will distribute the clear fire-rated glazing line of InterEdge. “We are very pleased to add this exciting new line of popular glazing products,” said Silverstein.

Another Texas Glass Company Charged with Bid Rigging

KK Glass Inc. of Lubbock, Texas, and two of its executives, have been charged with rigging bids to supply architectural flat glass to general contractors in that area.

According to the Department of Justice (DOJ), the company, and directors Kenneth E. Taylor and John K. Taylor, were charged with conspiring with unnamed co-conspirators to submit collusive, noncompetitive and rigged bids, and to increase the profit markups on bids to general contractors for contracts to supply architectural flat glass. The one-count felony charge was filed in U.S. District Court in Lubbock.

The DOJ said the bid-rigging scheme covered a period from March 1991 until at least May 1998. It was accomplished by discussing bid submissions, agreeing on which corporate co-conspirator would be the low responsive bidder, and submitting collusive, noncompetitive and rigged bids with increased profit markups to general contractors. This is the second charge to come from the DOJ’s ongoing antitrust investigation into suspected bid rigging in the architectural glass industry. Lubbock Glass and Mirror company was sentenced last December by the U.S. District Court in Lubbock to pay a fine of $200,000 for conspiring to rigs bids on architectural flat glass (see October 1999 USGlass, page 14). Its president Delbert Sanders was also fined $25,000.

Japan, U.S. Clash on Issues, Including Flat Glass Trade

While Reuters reported that a recent U.S.-Japan telecoms trade deal marks a turn toward deregulation by the Japanese, U.S. trade representative Charlene Barshefsky said the two sides continue to disagree on a host of trade issues, including auto and flat glass. Barshefsky expressed frustration regarding flat glass trade, due to the fact that three domestic firms have held the same dominant market share for 30 years.


USG

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