New Braunfels Herald Zeitung (Newspaper) - October 4, 1994, New Braunfels, Texas
2 ■ Tuesday, Oct. 4, 1994 ■ Herald-Zeitung
Photo courtesy of Seguin Gazette-Enterprise
Rep. Edmund Kuempel accepts a plaque from Chancellor William H. Cunningham.
State Rep. Kuempel honored by UT for supporting education
By RON FILKINS
Special to the Herald-Zeitung
SEGUIN - State Rep. Edmund Kuempel was recognized by the University of Texas System for his support of higher education last Tuesday night, at an outdoor barbecue-reception at the riverside home of Marvin and Elbe Sclig. UT System Chancellor William H. Cunningham presented the Seguin legislator with a special framed certificate.
In his remarks to approximately IOO alumni and supporters from Guadalupe and Comal counues, Cunningham noted that Kuempel “has provided outstanding support in the legislature for Texas higher education. Ed and his wife, Birdie, have unselfishly given of then time and talent to this community and the state and I am delighted lo have this opportunity to express my gratitude to them.”
The UT System chancellor said that Kuempel is recognized by his colleagues as a leader in the House of Representatives. “Ed Kuempel understands the issues facing the state of Texas and is willing to offer production solutions to those problems,” Cunningham said. “Other members of the legislature respect him and look to liim for leadership.”
The UT administrator continued, “He has a keen understanding of the importance of the state’s investment in its colleges and universities, which is, of cour se, ultimately an investment in the future of our state’s young peo-
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The UT system is composed of 15 institutions, serving more than 150,000 students in general academic and health-related fields. For the 1993-94 fiscal year, combined operating budgets totaled more than S3.8 billion, with a capital budget of more than S277 million.
Many of those persons attending the reception were leaders of the UT Texas Exes clubs from the two respective counties.
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Commercial Metals bf Seguin enters merger agreement
From staff raports
Commercial Metals Co., the parent company of Structural Metals Inc. in Seguin, has entered into a definitive agreement providing for the merger of Columbia, S.C. based Owen Steel Co. Inc. and all affiliated companies into a wholly owned subsidiary of CMC.
The purchase price is $55 million, subject to adjustments, payable one-half in cash and one-half in CMC commot stock. CMC also will provide funds for the retirement of $32.4 million of Owen debt at closing.
The transaction is subject to certain regulatory approvals and customary closing conditions.
Stanley A. Rabin, CMC president and CEO, said, “The purpose of this strategic acquisition is to increase our basic earning power and shareholder value and give us a solid position in the Southeast and mid-Atlantic area, diversifying our geographic markets. Our cash flow from operations has been strong and we plan to fund the purchase from internal cash generation and some new long-term debt."
Seguing Marvin Selig, president ofthe CMC Steel Group, added, “The modem Owen steel min
imill near Columbia has an annual melting capacity of about 350,000 tons and a rolling capacity of about
250.000 tons. Owen’s steel mill products will complement the three minimills now in the CMC Steel Group. The steel fabricating facilities are located in South Carolina, North Carolina, Virginia, Georgia, and Florida and include six rebar fabricating shops, five structural fabrication shops, two joist plants, one construction supply company, and three scrap metal processing facilities. Fabrication levels are about
175.000 tons and Owens processes about 155,000 tons of scrap metals.”
He continued, “Almost all of the Owen business segments are identical to ours and are located in a new and growing geographic area. The sizes of their merchant bar product line will complement our SMI Birmingham mill product line. Our customers in the Southeast will benefit from a broader product line service. Surplus billets produced in the Owen modem electric furnace will be usable in other CMC steel mills.” •
“Owen’s operations have historically been profitable,” Rabin noted, with strong profits in 1989 and 1990. The company suffered substantial losses in 1992 and 1993. “We believe Owen should be prof
itable in 1995 and that Owen will become an important contributor to future earnings.”
Owen Steel, in business for 58 years, is a privately owned steel manufacturer and fabricator of steel products for industrial and commercial construction. Franklyn D. Owen Sr. founded the business in 1936.
Commercial Metals Co. and subsidiaries manufacture, recycle and market steel and metal products, related materials and services through a network of over 75 locations including steel minimills, steel fabrication plants, a copper tube mill, recycling facilities and trading offices in the U.S. and trading and representative offices in strategic overseas markets.
The CMC Steel Group operates 12 steel fab plants in Texas and Louisiana in addition to its three minimills located in Texas, Arkansas, and Alabama. CMC produced 1.2 million tons of famished steel in die fiscal year just ended and fabricated over 350,000 tons of steel.
The company’s Recycling Division processed over 1.2 million tons of scrap metals. The Steel Group recently started up a new melt shop at Birmingham with a new 80-ton DC furnace and operates one of the most efficient AC furnace melt shops at the SMI-Texas works.
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C 1994, United Feature Syndicate
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