McWane
Encyclopedia
McWane, Inc. is one of the world's largest manufacturers of iron water works and plumbing products and one of America’s largest privately owned companies. The company manufactures products including ductile iron pipe and fittings, fire hydrants, cast iron soil pipe and fittings, and related products. McWane is also a manufacturer of pressurized cylinders for the storage of propane and other gases through its Manchester Tank and Equipment Company division, and fire protection systems and extinguishers through its Amerex subsidiary.
Based in Birmingham, Alabama
, McWane is a privately held, family owned company employing almost 6,000 people in 25 facilities nationwide. In addition to the United States, the company has operations in Australia
, Canada
, Chile
, China
and Norway
. Its operating revenues are estimated at approximately $1.5 to 2 billion .
In 2006, McWane’s Atlantic States plant in New Jersey became the first foundry in North America to apply technology to substantially limit mercury emissions
. The following year, a McWane plant was the first iron and brass foundry in the country to be recognized as a Voluntary Protection Program site by OSHA
.
and Amerex Corporation of Trussville, Alabama
, expanding its manufacturing of fire extinguishers.
Along with McWane's original operations, the subsidiary companies
acquired by the company formed its seven divisions: ductile iron pipe, waterworks valves and fire hydrants, soil pipe, soil fittings and utility fittings, propane
and compressed air
, fire extinguishers, and coal.
. After entering the Canadian market in 1989, McWane established Clow Canada in 1990, with manufacturing operations in St. Johns New Brunswick. Through Canada Pipe, McWane subsequently acquired the Bibby Companies in 1997. McWane then extended its operations to Australia in 1999 with the acquisition of Manchester Tank & Equipment Company. In 2005, the company built a new foundry, the Tyler Xian Xian Foundry Company, in Hebei, China and in 2010, McWane acquired Manchester Tank & Equipment Cemcogas SA in Santiago, Chile. Finally, through Amerex, McWane acquired Solberg Scandinavian AS, an independent firefighting foam agent manufacturer based in Bergen, Norway.
Province. The company was named the "Excellent Environmental Protection Facility of 2006" by the Cangzhou Environmental Protection Bureau.
and the Canadian Broadcast Corporation reported serious safety and environmental problems at McWane plants. According to the reports, there were 4,600 recorded injuries, nine deaths and more than 400 Occupational Safety and Health Administration
violations between 1995 and 2003.
. the Clean Water Act
, the Emergency Planning and Community Right-to-Know Act, Toxic Substances Control Act
, the Safe Drinking Water Act
, and three other federal acts. McWane President Ruffner Page Jr. said the agreement was "the beginning of the final chapter" in McWane's effort to be in full compliance.
PBS Frontline aired an updated version of "A Dangerous Business", entitled "A Dangerous Business Revisited", on February 5, 2008 on most PBS stations throughout the U.S. Included in this version was additional reporting regarding federal prosecutions against McWane, Inc. since the original airing, as well as checking the OSHA data to verify whether McWane, Inc.'s new safety standards have made working conditions truly safer for its foundry employees.
Leo Gerard wrote that McWane's current management ”has shown a dramatic change in attitude” and that “current safely practices at McWane are as good as or better than any of its competitors." During sentencing of the company in a case regarding environmental damages in New Jersey, U.S. District Court Judge Mary Cooper concluded, "A night and day difference has been accomplished, not by wishful thinking, but by determined and sustained effort at all levels. They are determined to continue to serve in all the ways that they serve and to do everything they can to prevent environmental, health, and safety damage to anyone."
As a result of the changes implemented by McWane, the company, and its operating divisions and subsidiaries have received local and national recognition and awards. The company's Union Foundry has won safety awards, including Alabama's highest safety award from the Alabama Department of Industrial Relations. The company's Pacific States plant received both the Utah Department of Environmental Quality’s Outstanding Achievement in Pollution Prevention Award and the Provo/Orem Chamber of Commerce’s "Business of the Year" award in 2007. In 2008, the Birmingham Business Journal named McWane president G. Ruffner Page as its Green Business Leader of the Year. , seven McWane plants have been admitted into OSHA’s Voluntary Protection Program (VPP), a program that recognizes exemplary health and safety programs, and a status that fewer than 1% of all U.S. workplaces attain.
, and they have also donated to cultural institutions such as the Birmingham Civil Rights Institute
. The company offers undergraduate scholarships to Alabama college students. The McWane family also donated $2 million to the 1999 restoration of the Birmingham’s famous Vulcan statue
, which was originally cast in 1904 by J. R. McWane’s foundry and is the largest cast iron statue in the world. The Alabama Chapter of Fundraising Professionals awarded McWane its Outstanding Corporate Citizen of the Year Award in 2005. The city of Birmingham has also recognized McWane several times for its beautification and summer arts programs. In 2009, the McWane Foundation pledged $5 million to Alabama’s Children’s Hospital for the construction of an environmentally friendly hospital. In addition to the gift from the McWane Foundation, Phillip and Heather McWane personally pledged an additional $5 million for a clinical program in the new hospital.
Outside of Alabama, McWane's subsidiaries have contributed to charitable causes and community resources, including a $30,000 donation to the Community Health and Mahaska Hospice for the renovation of the former Family Medical Center building, now called the Mahaska Health West building by the Clow Valve Company. In 2008, the Atlantic States Cast Iron Pipe Co. donated $75,000 to upgrade the Walters Park band shell in Phillipsburg, Pennsylvania.
Based in Birmingham, Alabama
Birmingham, Alabama
Birmingham is the largest city in Alabama. The city is the county seat of Jefferson County. According to the 2010 United States Census, Birmingham had a population of 212,237. The Birmingham-Hoover Metropolitan Area, in estimate by the U.S...
, McWane is a privately held, family owned company employing almost 6,000 people in 25 facilities nationwide. In addition to the United States, the company has operations in Australia
Australia
Australia , officially the Commonwealth of Australia, is a country in the Southern Hemisphere comprising the mainland of the Australian continent, the island of Tasmania, and numerous smaller islands in the Indian and Pacific Oceans. It is the world's sixth-largest country by total area...
, Canada
Canada
Canada is a North American country consisting of ten provinces and three territories. Located in the northern part of the continent, it extends from the Atlantic Ocean in the east to the Pacific Ocean in the west, and northward into the Arctic Ocean...
, Chile
Chile
Chile ,officially the Republic of Chile , is a country in South America occupying a long, narrow coastal strip between the Andes mountains to the east and the Pacific Ocean to the west. It borders Peru to the north, Bolivia to the northeast, Argentina to the east, and the Drake Passage in the far...
, China
China
Chinese civilization may refer to:* China for more general discussion of the country.* Chinese culture* Greater China, the transnational community of ethnic Chinese.* History of China* Sinosphere, the area historically affected by Chinese culture...
and Norway
Norway
Norway , officially the Kingdom of Norway, is a Nordic unitary constitutional monarchy whose territory comprises the western portion of the Scandinavian Peninsula, Jan Mayen, and the Arctic archipelago of Svalbard and Bouvet Island. Norway has a total area of and a population of about 4.9 million...
. Its operating revenues are estimated at approximately $1.5 to 2 billion .
History
J. R. McWane founded the McWane Cast Iron Pipe Company in 1921 in Birmingham, Alabama, where it has maintained its headquarters since. McWane introduced innovations to foundry technology and processes. He also introduced progressive initiatives to improve working conditions. In 1920, one year before the founding of McWane, J.R. McWane wrote, "The industry that maintains an army of workers without regard to their working and living conditions, their health, recreations, religious and social life cannot succeed in the largest sense." His vision is referred to within the company as "The McWane Way", and can be summarized as aiming to improve both the methods of work and the lives of the workers, rather than focusing only on financial gain.In 2006, McWane’s Atlantic States plant in New Jersey became the first foundry in North America to apply technology to substantially limit mercury emissions
Mercury (element)
Mercury is a chemical element with the symbol Hg and atomic number 80. It is also known as quicksilver or hydrargyrum...
. The following year, a McWane plant was the first iron and brass foundry in the country to be recognized as a Voluntary Protection Program site by OSHA
Occupational Safety and Health Administration
The United States Occupational Safety and Health Administration is an agency of the United States Department of Labor. It was created by Congress of the United States under the Occupational Safety and Health Act, signed by President Richard M. Nixon, on December 29, 1970...
.
Domestic acquisitions
The company has grown mainly through acquisition of other domestic foundries and related enterprises. In 1926, the company opened its first subsidiary, the Pacific States Cast Iron Pipe Company. Later, McWane acquired Empire Coke Company in 1962, Atlantic States Cast Iron Pipe Company in 1975, and Union Foundry Company in 1977. Between 1984 and 1996, the company continued its expansion with the acquisition of the following companies, M&H Valve Company, Clow Water Systems, Clow Valve Company, Kennedy Valve Company, Tyler Pipe and Anaco. In 1999, McWane bought two more companies: Manchester Tank & Equipment of Brentwood, TennesseeBrentwood, Tennessee
-Demographics:As of the census of 2000, there were 23,445 people, 7,693 households, and 6,808 families residing in the city. The population density was . There were 7,889 housing units at an average density of . The racial makeup of the city was 94.63% European American, 1.89% African American,...
and Amerex Corporation of Trussville, Alabama
Trussville, Alabama
Trussville is a city in Jefferson and St. Clair counties in the U.S. state of Alabama. The population was 19,933 at the 2010 census. Trussville was ranked as number 56 out of 100 in Money Magazines Best Places to Live 2005.-Geography:...
, expanding its manufacturing of fire extinguishers.
Along with McWane's original operations, the subsidiary companies
Subsidiary
A subsidiary company, subsidiary, or daughter company is a company that is completely or partly owned and wholly controlled by another company that owns more than half of the subsidiary's stock. The subsidiary can be a company, corporation, or limited liability company. In some cases it is a...
acquired by the company formed its seven divisions: ductile iron pipe, waterworks valves and fire hydrants, soil pipe, soil fittings and utility fittings, propane
Propane
Propane is a three-carbon alkane with the molecular formula , normally a gas, but compressible to a transportable liquid. A by-product of natural gas processing and petroleum refining, it is commonly used as a fuel for engines, oxy-gas torches, barbecues, portable stoves, and residential central...
and compressed air
Compressed air
Compressed air is air which is kept under a certain pressure, usually greater than that of the atmosphere. In Europe, 10 percent of all electricity used by industry is used to produce compressed air, amounting to 80 terawatt hours consumption per year....
, fire extinguishers, and coal.
International expansion
McWane's international expansion began in 1989 when it acquired Canada Pipe Company, in Hamilton, Ontario, an iron pipe plant owned by Canron Inc. of TorontoToronto
Toronto is the provincial capital of Ontario and the largest city in Canada. It is located in Southern Ontario on the northwestern shore of Lake Ontario. A relatively modern city, Toronto's history dates back to the late-18th century, when its land was first purchased by the British monarchy from...
. After entering the Canadian market in 1989, McWane established Clow Canada in 1990, with manufacturing operations in St. Johns New Brunswick. Through Canada Pipe, McWane subsequently acquired the Bibby Companies in 1997. McWane then extended its operations to Australia in 1999 with the acquisition of Manchester Tank & Equipment Company. In 2005, the company built a new foundry, the Tyler Xian Xian Foundry Company, in Hebei, China and in 2010, McWane acquired Manchester Tank & Equipment Cemcogas SA in Santiago, Chile. Finally, through Amerex, McWane acquired Solberg Scandinavian AS, an independent firefighting foam agent manufacturer based in Bergen, Norway.
China
In 2003, in response to increasing pressure to move operations overseas due to competition from importers, McWane filed a petition with the International Trade Commission asking for relief from Chinese competition. The commission unanimously approved McWane’s petition and recommended that President George W. Bush impose a three-year import quota on China's waterworks fittings and tariffs of up to 50 percent on imports exceeding the quota. However, in March 2004, President Bush decided not to adopt the commission's recommendation. Following this decision, McWane opted to begin manufacturing its products both domestically and overseas. To that end, in 2005, it opened a plant in China's HebeiHebei
' is a province of the People's Republic of China in the North China region. Its one-character abbreviation is "" , named after Ji Province, a Han Dynasty province that included what is now southern Hebei...
Province. The company was named the "Excellent Environmental Protection Facility of 2006" by the Cangzhou Environmental Protection Bureau.
Environmental and safety issues
Following McWane's rapid growth in the 1990s, it was reported that the company had an increased number of health and safety violations. In 2003, a series of joint print and broadcast reports by the New York Times, PBSPublic Broadcasting Service
The Public Broadcasting Service is an American non-profit public broadcasting television network with 354 member TV stations in the United States which hold collective ownership. Its headquarters is in Arlington, Virginia....
and the Canadian Broadcast Corporation reported serious safety and environmental problems at McWane plants. According to the reports, there were 4,600 recorded injuries, nine deaths and more than 400 Occupational Safety and Health Administration
Occupational Safety and Health Administration
The United States Occupational Safety and Health Administration is an agency of the United States Department of Labor. It was created by Congress of the United States under the Occupational Safety and Health Act, signed by President Richard M. Nixon, on December 29, 1970...
violations between 1995 and 2003.
Criminal and civil violations
Following the media reports, the Justice Department and the Environmental Protection Agency (EPA) launched an intensive investigation into McWane’s safety and environmental practices. Federal regulators brought formal charges against McWane facilities and managers, resulting in $25 million in fines and prison sentences of up to 70 months for four McWane plant managers. Regulators also charged McWane with more than 400 air and water quality violations. The company resolved the bulk of the environmental violations in 2010, when it agreed to pay $4 million in civil penalties and spend another $9.1 million on environmental projects in communities near its plants. This agreement covered 28 of the company's manufacturing facilities in 14 states, and resolves violations including the Clean Air ActClean Air Act
A Clean Air Act is one of a number of pieces of legislation relating to the reduction of airborne contaminants, smog and air pollution in general. The use by governments to enforce clean air standards has contributed to an improvement in human health and longer life spans...
. the Clean Water Act
Clean Water Act
The Clean Water Act is the primary federal law in the United States governing water pollution. Commonly abbreviated as the CWA, the act established the goals of eliminating releases of high amounts of toxic substances into water, eliminating additional water pollution by 1985, and ensuring that...
, the Emergency Planning and Community Right-to-Know Act, Toxic Substances Control Act
Toxic Substances Control Act
The Toxic Substances Control Act is a United States law, passed by the United States Congress in 1976, that regulates the introduction of new or already existing chemicals. It grandfathered most existing chemicals, in contrast to the Registration, Evaluation and Authorization of Chemicals ...
, the Safe Drinking Water Act
Safe Drinking Water Act
The Safe Drinking Water Act is the principle federal law in the United States intended to ensure safe drinking water for the public. Pursuant to the act, the Environmental Protection Agency is required to set standards for drinking water quality and oversee all states, localities, and water...
, and three other federal acts. McWane President Ruffner Page Jr. said the agreement was "the beginning of the final chapter" in McWane's effort to be in full compliance.
PBS Frontline aired an updated version of "A Dangerous Business", entitled "A Dangerous Business Revisited", on February 5, 2008 on most PBS stations throughout the U.S. Included in this version was additional reporting regarding federal prosecutions against McWane, Inc. since the original airing, as well as checking the OSHA data to verify whether McWane, Inc.'s new safety standards have made working conditions truly safer for its foundry employees.
Commitment to safety and environment
Prior to the media reports, the company had been implementing changes to its operating practices since 2000, according to McWane's president, G. Ruffner Page. Following the 2003 investigations, McWane continued to reform its safety and environmental practices, bringing on new management and implementing new safety procedures. The company replaced 90 percent of its senior management and added 125 new environmental, health and safety, and human resources positions since 1999. In addition, McWane spent over $300 million on environmental protection and health and safety (EHS), and implemented a centralised EHS managment system to detect environmental, and health and safety problems. It also began self-reporting oversights to authorities. McWane updated its Ethics and Compliance Policy and created a training and educational program for EHS and management skills. To ensure legal compliance, the company implemented oversight mechanisms and incentive schemes, including internal and external (third party) audits and a financial incentive program for managers based upon EHS performance, an appropriate range of disciplinary actions for noncompliance, along with a confidential, 24-hour phone line for reporting suspected violations and other concerns.Independent review and recognition
In a 2006 letter to the EPA, international president of the United SteelworkersUnited Steelworkers
The United Steel, Paper and Forestry, Rubber, Manufacturing, Energy, Allied Industrial and Service Workers International Union is the largest industrial labor union in North America, with 705,000 members. Headquartered in Pittsburgh, U.S., the United Steelworkers represents workers in the United...
Leo Gerard wrote that McWane's current management ”has shown a dramatic change in attitude” and that “current safely practices at McWane are as good as or better than any of its competitors." During sentencing of the company in a case regarding environmental damages in New Jersey, U.S. District Court Judge Mary Cooper concluded, "A night and day difference has been accomplished, not by wishful thinking, but by determined and sustained effort at all levels. They are determined to continue to serve in all the ways that they serve and to do everything they can to prevent environmental, health, and safety damage to anyone."
As a result of the changes implemented by McWane, the company, and its operating divisions and subsidiaries have received local and national recognition and awards. The company's Union Foundry has won safety awards, including Alabama's highest safety award from the Alabama Department of Industrial Relations. The company's Pacific States plant received both the Utah Department of Environmental Quality’s Outstanding Achievement in Pollution Prevention Award and the Provo/Orem Chamber of Commerce’s "Business of the Year" award in 2007. In 2008, the Birmingham Business Journal named McWane president G. Ruffner Page as its Green Business Leader of the Year. , seven McWane plants have been admitted into OSHA’s Voluntary Protection Program (VPP), a program that recognizes exemplary health and safety programs, and a status that fewer than 1% of all U.S. workplaces attain.
Philanthropy
The McWane family and company is noted for its charitable work in Alabama and in communities where its plants are located. The family pledged $10 million to the McWane Science CenterMcWane Science Center
The McWane Science Center is a science museum and research archive located in downtown Birmingham, Alabama . The state-of-the-art science center, aquarium and 280-seat IMAX Dome Theater is housed in the historic and refurbished Loveman's department store building...
, and they have also donated to cultural institutions such as the Birmingham Civil Rights Institute
Birmingham Civil Rights Institute
Birmingham Civil Rights Institute is a large interpretive museum and research center in Birmingham, Alabama that depicts the struggles of the American Civil Rights Movement in the 1950s and 1960s...
. The company offers undergraduate scholarships to Alabama college students. The McWane family also donated $2 million to the 1999 restoration of the Birmingham’s famous Vulcan statue
Vulcan statue
The Vulcan statue is the largest cast iron statue in the world, and is the city symbol of Birmingham, Alabama, reflecting its roots in the iron and steel industry. The tall statue depicts the Roman god Vulcan, god of the fire and forge. It was created as Birmingham's entry for the Louisiana...
, which was originally cast in 1904 by J. R. McWane’s foundry and is the largest cast iron statue in the world. The Alabama Chapter of Fundraising Professionals awarded McWane its Outstanding Corporate Citizen of the Year Award in 2005. The city of Birmingham has also recognized McWane several times for its beautification and summer arts programs. In 2009, the McWane Foundation pledged $5 million to Alabama’s Children’s Hospital for the construction of an environmentally friendly hospital. In addition to the gift from the McWane Foundation, Phillip and Heather McWane personally pledged an additional $5 million for a clinical program in the new hospital.
Outside of Alabama, McWane's subsidiaries have contributed to charitable causes and community resources, including a $30,000 donation to the Community Health and Mahaska Hospice for the renovation of the former Family Medical Center building, now called the Mahaska Health West building by the Clow Valve Company. In 2008, the Atlantic States Cast Iron Pipe Co. donated $75,000 to upgrade the Walters Park band shell in Phillipsburg, Pennsylvania.