Kennametal Statement about Facility Damaged by Arkansas Tornado

Rhea-AI Summary

Kennametal (NYSE: KMT) announced that its Rogers, AR facility was damaged by a tornado on May 28, 2024. The damage assessment is ongoing, but no employees were onsite during the storm. Incoming President & CEO Sanjay Chowbey expressed sympathy for affected employees and the community, and committed to providing necessary support and resources to restore operations quickly. The facility is important for the company's Infrastructure segment, producing engineered carbide wear components and rods for the Metal Cutting segment. Kennametal is working to minimize shipment delays and has contributed to the American Red Cross of Arkansas to support immediate community needs.

Positive

• No employees were injured as the facility was shut down during the holiday weekend.
• Kennametal is committed to restoring operations quickly to minimize shipment delays.
• The company is supporting the community by contributing to the American Red Cross of Arkansas.
• Kennametal's proactive damage assessment and resource allocation demonstrate strong management response.

Negative

• The extent of the damage to the Rogers facility is still unknown, creating uncertainty for investors.
• The potential for shipment delays could impact customer satisfaction and revenue.
• Restoration costs and downtime may lead to financial strain on the company's operations.

PITTSBURGH, May 28, 2024 /PRNewswire/ -- Kennametal Inc. (NYSE: KMT) ("the Company") announced today that its production facility in Rogers, AR, sustained damage early Sunday morning from a tornado that also affected the larger Rogers community. At the time of the storm, the facility was shut down for the holiday weekend and no employees were onsite. The extent of the damage is currently being assessed.

"Our thoughts are with our employees and everyone in the community affected by this storm," said Sanjay Chowbey, incoming President & CEO of Kennametal Inc. "We are working closely with our local team to assess the damage and provide all necessary support and resources to restore operations as quickly as possible." 

The Company is also making a contribution to the American Red Cross of Arkansas to help support immediate community needs.

The Rogers plant supports the Company's Infrastructure segment and produces engineered carbide wear components primarily serving the Energy, General Engineering and Earthworks end markets. The facility also produces rods used in the manufacturing of certain round tools for the Company's Metal Cutting segment. The Company is working diligently to restore production as soon as possible and to minimize shipment delays to customers. 

About Kennametal

With over 80 years as an industrial technology leader, Kennametal Inc. delivers productivity to customers through materials science, tooling and wear-resistant solutions. Customers across aerospace and defense, earthworks, energy, general engineering and transportation turn to Kennametal to help them manufacture with precision and efficiency. Every day approximately 8,700 employees are helping customers in nearly 100 countries stay competitive. Kennametal generated $2.1 billion in revenues in fiscal 2023. Learn more at www.kennametal.com. Follow @Kennametal: Instagram, Facebook, LinkedIn and YouTube.

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SOURCE Kennametal Inc.

FAQ

What happened to Kennametal's facility in Rogers, AR on May 28, 2024?

Kennametal's facility in Rogers, AR sustained damage from a tornado. The extent of the damage is currently being assessed.

Were there any injuries reported at Kennametal's Rogers facility after the tornado?

No injuries were reported as the facility was shut down for the holiday weekend and no employees were onsite.

How is Kennametal addressing the damages to the Rogers facility?

Kennametal is assessing the damage and providing support and resources to restore operations as quickly as possible.

What contribution did Kennametal make to support the community after the tornado?

Kennametal made a contribution to the American Red Cross of Arkansas to help support immediate community needs.

What products are produced at the damaged Kennametal Rogers facility?

The facility produces engineered carbide wear components for the Infrastructure segment and rods for the Metal Cutting segment.

What impact might the tornado damage have on Kennametal's operations?

The tornado damage may cause shipment delays and financial strain due to restoration costs and operational downtime.