October 9, 2008

Shinagawa Refractories, JFE Refractories to Merge in Oct. ’09

Tokyo, Oct. 9 (Jiji Press)--Shinagawa Refractories Co. and JFE Refractories Corp., a unit of JFE Steel Corp., said Thursday they are studying their business integration in October 2009.

Shinagawa Refractories is expected to absorb the smaller peer. The merger will create the largest refractories maker in Japan, followed by Krosaki Harima Corp. .

JFE Refractories hopes the merger will ensure a stable supply of refractories for furnaces when demand for refractories is expanding thanks to brisk steel production.

Shinagawa Refractories, which imports most of its materials, intends to increase procurement power through the merger. It also aims to reduce costs through such steps as reorganization. END

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