CLP completes purchase of Koppers’ Clairton facility
Koppers Inc., a wholly-owned subsidiary of Koppers Holdings Inc. (NYSE: KOP), announced today that it has completed the sale of its Clairton, Pennsylvania, facility to State Street Enterprises, LLC (State Street), a wholly-owned subsidiary of Commercial Liability Partners, LLC.
As part of Koppers previously announced strategy to restructure and streamline the operating footprint of its Carbon Materials and Chemicals (CMC) business, the company discontinued production at the Clairton facility in 2016.
Koppers has transferred all assets at its Clairton facility to State Street, a subsidiary of Commercial Liability Partners, in exchange for State Street assuming certain historical and future obligations, including full responsibility for facility decommissioning, demolition and site restoration. In addition, Koppers made a modest cash contribution toward the work to be completed by State Street, which will be distributed to State Street over 18 to 24 months as performance milestones are achieved. In connection with the transaction, Koppers secured substantial financial assurances and insurance.
“This transaction represents one more step towards achieving a sustained profitable operating model for our CMC business unit. With only a few actions remaining in our global restructuring plan, we expect that our future operating footprint will minimize our exposure to legacy liabilities in a cost-effective manner.”
Leroy M. Ball, Koppers President and CEO