Newsletter - July 2011
Greetings from IBC! The first half of 2011 has been a productive and exciting six months for IBC and in spite of continuing global economic and market uncertainty, IBC has made excellent progress on virtually all fronts. While the media continues to focus on the negative, IBC has seen cautious improvement in customer outlook, translating into a strong order book. The relative dollar weakness has resulted in more competitive US pricing and IBC believes that the long term dollar outlook bodes well for US manufacturing and industrial exports. Seeking to benefit from this trend, IBC is actively engaged in several key business development initiatives to expand certain key export markets and increase its overseas presence.
A notable highlight so far in 2011 for IBC has been the opening of a new 63,000 square foot manufacturing facility in Wilmington, Massachusetts to support and expand the Company's Engineered Materials division. This new facility is a major investment by IBC and will significantly increase the Company's production capacity for near net shape investment castings using the proprietary BeralcastR family of high performance ultra-lightweight beryllium aluminum alloys.
The opening of the Engineered Materials facility demonstrates IBC's commitment to growth, investment in new technology and new markets and the BeralcastR range of alloys in particular. This commitment has already been validated by IBC's customers and in June 2011 the Company signed an exclusive supply contract to provide investment-cast engineered components to a global leader in the design and manufacture of high-technology assembly equipment. This is a significant contract, and a vote of confidence, for IBC and has the potential to generate a minimum of $4 million of annual revenues from one customer.
Another milestone for IBC was the strengthening of the Company's board with the May 25, 2011 appointment of retired U.S. Marine Corps. Major General David Heinz. MajGen Heinz is currently the Vice President of Maritime Systems for iRobot Corporation and whose most recent military assignment was as the Program Executive Officer (PEO) for the F-35 Lightning II Program. His experience will be invaluable to both the Company's corporate governance as well as its market growth, especially for aerospace applications.
IBC also achieved major milestones on the Company's non-manufacturing initiatives. The nuclear fuels program continues apace with new R&D agreements at Purdue and Texas A&M universities. Also, IBC signed a memorandum of understanding in February with Global Nuclear Fuel America (GNF-A), a joint venture of GE, Toshiba Corporation and Hitachi Ltd., to work together to advance the Company's beryllium oxide (BeO) enhanced nuclear fuels research. The Company is also continuing with its mineral exploration program in Utah having completed data analysis of a 2010 airborne program. With the new processed data IBC identified several high priority target zones and hopes to begin a drill program in late July or early August.
Most recently, on June 22, 2011, IBC completed and closed an $8 million equity financing. The offering was oversubscribed, further underscoring the market and investor's confidence in the Company. With a strengthened balance sheet, increasing revenues, a growing customer base, and multiple opportunities for growth, IBC's is well positioned to fully unlock its potential and to expand its horizons in a variety of directions.
Anthony Dutton - President and CEO
IBC Engineered Materials Opens New Facility
IBC has opened a new 63,000 square foot manufacturing facility in Wilmington, MA to support the strong growth of our Engineered Materials operations. This new facility represents a major investment by IBC and will significantly increase our production capacity for near net shape investment castings using the proprietary BeralcastR family of high performance ultra-lightweight alloys.
IBC Engineered Materials has successfully relocated to an optimally configured modern facility that employs a more streamlined process flow and incorporates additional equipment to further improve production efficiencies. The plant also includes a second furnace that will ultimately further increase capacity. IBC's Wilmington facility will provide customers with advanced metallurgical materials solutions produced at a state of the art manufacturing facility. IBC expects to increase employment at the Wilmington plant and add up to 40 high tech manufacturing and engineering personnel over the next three years.
Byron King, Editor of Energy & Scarcity Investor attended the open house and had this to report about the new facility - "I've visited high end mills before, but this place takes first prize. It's relatively small, but reflects a world-class level of quality. In fact, the site I visited is filled with literally Star Trek kind of stuff------high level niche manufacturing, using the sharpest part of the cutting edge technology."
BeralcastR alloys are used in the manufacturing of various high tech industrial components as well as in many commercial and military aerospace applications requiring complex, lightweight and high-stiffness parts. The primary BeralcastR alloy is more than three times stiffer than aluminum with 22% less weight and can be precision-cast to simple and complex configurations making it an ideal engineered and cost effective solution for a wide range of complex aerospace and commercial applications.
For sales inquires please contact David Hinds at 978-284-8912.
Expanding IBC's Global Presence
Product Detail 1
IBC Advanced Alloys, a leading developer and manufacturer of advanced alloys and engineered materials, continues to expand its global presence with new customers and partnerships in Europe and Asia. There is currently a significant demand for high quality, essential components in many international markets and IBC believes that the opportunity to work and grow with customers in every part of the globe is an essential aspect of building a successful and profitable company.
IBC's global market share continues to grow, due in part to its expanded product offering and diverse channels to market. As a leader in the alloys industry, IBC's main priorities are to provide a variety of high technology products of excellent quality, flexible service and responsive support, which has proven highly valuable to our customers.
"Ensuring IBC's products and services are available in every region is a fundamental aspect of our business," said Doug Veitch, Vice President of Business Development. "We have had very favorable feedback from a number of international customers who have been impressed with our superior client relations."
The continued efforts for ongoing global expansion and customer alignment has led to the use of IBC products in tooling for major original equipment manufacturers such as Bosch and Visteon. IBC welcomes any inquiry about its products or services and looks forward to servicing customers from all global locations.
IBC Launches Newly Designed Website
IBC Advanced Alloys has launched a newly designed website to better reflect our services and provide a product driven platform for what drives our business - the customer. The website positions IBC to expand on our products, key markets and technical applications so the customer has the necessary information to identify what products are best for them. The first half of 2011 has seen an increase in customer calls, partly as a result of our expanded marketing efforts with social media and recent industry reports reaching to both customers and investors. IBC encourages everyone to visit our website, for a comprehensive overview of our specialty alloy products, their many applications and our commitment to providing the utmost highest level of quality with every order.