IHEA ANNUAL MEETING — FOCUS ONTHE 21ST CENTURY CORPORATIONIHEA member company representatives attending theAssociation’s 2001 Annual Meeting to be held March 20-24,2001, at the Hyatt Regency Grand Cypress in Orlando,Florida, will have an opportunity to hear presentations andparticipate in discussions on several areas of concern to manufacturers in 2001.

Troy Walker, Managing Partner of eBusiness Strategy, willcover “Electronic Commerce” the use of computers andtelecommunications to improve customer relationships.Mr. Walker provides a unique blend of business strategy,marketing and technology in identifying how eCommercecan provide manufacturers, large and small, with apowerful tool to improve productivity, find and retain newcustomers, suppliers, and other business services; andexpand operations into new markets.

“New Safety Standards for Burner Management Systems”will be presented by Edward M. Marszal, P.E. Mr. Marszal isPrincipal Engineer with Exida, a company focused on theprocess of designing, installing and maintaining safety andhigh availability automation systems. Mr. Marszal has yearsof experience in instrumentation, safety systems designand risk analysis. He has managed the detailed design,construction, installation, and startup of several multi-million dollar control system projects, including advancedprocess control.

Three round-table sessions have been planned for themeeting. A discussion on “Human Resources” will focus onnew challenges or opportunities for employers. A secondsession will be devoted to “Continuing EmployeeEducation and Training Programs.” And, a third round-table session will look at a timely topic “Working WithIndependent Sales Representatives and Agents.” Sessionswill be repeated allowing representatives to actively

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On behalf of the Board of Directors, Officers and Staff, I wish to extend to all of the member

company representatives and their families the very best wishes and success for the year 2001, thebeginning of the real millennium.

I would like to thank all of the members for thesupport and participation given in the year 2000 to the many programs and activities conducted byIHEA for the benefit of members and users. All of the committee chairmen and committee membersare to be commended for their leadership anddedication in meeting goals and focusing on thefuture of IHEA.

Membership in the Association grew significantly inthe past few years and has expanded to new areasincluding induction equipment manufacturers,materials companies, professional groups and a steptoward international cooperation with the associatemembership of CECOF, European Committee ofIndustrial Furnace and Heating EquipmentAssociations. A strong and diverse membership adds strength and stability to the association.

IHEA’s CombustionSeminar reached arecord breakingattendance with close toone hundredrepresentativesparticipating in the two day seminar held October 1-2, 2000, in Chicago. The Standards Seminar whichtook place May 2-3, 2000, in Chicago, likewise, wasvery successful. The seminars represent majoractivities under IHEA’s educational programming.

A new educational thrust is under way as theAssociation prepares to introduce a new “HomeStudy Course in Process Heating.” Completion andintroduction of the program is planned for this year.

The Association has been active with the U.S.Department of Energy, Office of IndustrialTechnologies. A Roadmap for Process HeatingTechnology was initiated in 1999. In the past yearIHEA became involved in OIT’s Best PracticesProgram; and most recently considering an AlliedPartnership with DOE. The ultimate goal of this

VOL. XXVII, NO. 1FEBRUARY 2001

PLANN ING AHEAD

A Look Inside:

IHEA Elected Officers

IHEA/DOE Allied Partnership

CECOF Delegates Meeting

130 Attend IHEA’s 2000 Seminars

IHEA Meetings & Activities for Year 2001

IHEA Welcomes New Members

New IHEA Board Members

Angel Flight to Washington

Outlook for Orders in 2001

2000 Orders Show Decline

Continued on page 4

P R E S I D E N T ’ S M E S S A G E

Working on IHEA Goals

BY C. CARL MARCUCCI, P.E.

Continued on page 4

Newsletter is available at IHEA’s website:

2

Mario Ciampini Elected 2001 First Vice President of IHEAMr. Mario Ciampini was elected First Vice President ofIHEA for the year 2001 by the IHEA Board of Directors. Mr. Ciampini officially takes office at the next IHEA Board

of Directors meeting scheduledMarch 20, 2001, during theAssociation’s Annual Meeting in Orlando, Florida.

Mr. Ciampini currently serves asIHEA’s Treasurer and is a member of the IHEA Board of Directors and Executive Committee. He also served on IHEA’s OperationalInformation Committee andGovernment Relations Committee.As First Vice President,

Mr. Ciampini will serve on the IHEA Executive Committeeand Board of Directors and will be responsible for longrange planning for the Association.

Mr. Ciampini is President and CEO of Ipsen International,Inc., Rockford, Illinois. In addition, Mr. Ciampini isPresident of Linac Holdings, Inc. and a member of theBoard of Directors for LOI, Inc., and Hauck ManufacturingCompany. Mr. Ciampini has also held Vice President ofFinance position with Group (London, U.K.), and keyfinancial management positions with General Tire andGeneral Electric Canada.

Mr. Ciampini has a Business Management Degree, majoredin Finance from Ryerson University of Toronto, Canada. He is a Certified Management Accountant in the Provinceof Ontario.

John M. Cole, P.E.Elected 2001 Second Vice President of IHEAMr. John M. Cole, P.E. was electedSecond Vice President of theIndustrial Heating EquipmentAssociation by the IHEA Board ofDirectors. Mr. Cole officially takesoffice at the next IHEA Board ofDirectors meeting scheduled March20, 2001, during the Association’s Annual Meeting inOrlando, Florida. As Second Vice President he will serve onthe IHEA Board of Directors, Executive Committee andchair the Membership Committee.

Mr. Cole is currently a member of the Board of Directorsand the Executive Committee. He has been an activemember of the IHEA Program Committee since 1985serving as Chairman in 1989. He has served on the Safetyand Standards Committee as well as the MembershipCommittee.

Mr. Cole is Vice President-Engineering and Development of the Kolene Corporation, Detroit, Michigan. He is also a member of the Board of Directors of Kolene. Prior to hiscurrent position, which he assumed in 1988, he served asChief Engineer and has held various other positions withinthe company dating back to 1972.

Mr. Cole has a Bachelor of Science Degree in Industrial and Systems Engineering from the University of Michigan.He is a Registered Professional Engineer in the State ofMichigan and has received their PEI OutstandingEngineering Award in 1994 and Detroit Metro ChaptersEngineer of the Year Award, also in 1994.

Bradley M. AndreaeElected 2001 Treasurer of IHEAMr. Bradley M. Andreae was electedTreasurer of the Industrial HeatingEquipment Association for the year2001, by the IHEA Board ofDirectors. Mr. Andreae officiallytakes office at the next IHEA Boardof Directors meeting scheduledMarch 20, 2001, during theAssociation’s Annual Meeting in Orlando, Florida. As Treasurer, Mr. Andreae will serve on the IHEA Board of Directors, Executive Committee and Chair the Finance Committee.

Mr. Andreae currently serves as a member of the IHEABoard of Directors and the Government RelationsCommittee. He served as Chairman of the IHEA OvenDivision Committee in 1998-1999, served as a speaker at IHEA’s Heat Processing Seminars, and participated in the writing of IHEA’s Heat Processing Manual.

Mr. Andreae is Executive Vice President of Therma-Tron-X,Inc., Sturgeon Bay, Wisconsin. He joined the company in1972. He has a Technical Degree in Industrial Engineeringand Internal Combustion Engines from the MilwaukeeSchool of Engineering.

Steven R. Peterson Elected 2001 IHEA PresidentMR. STEVEN R. PETERSON was elected President of the Industrial Heating EquipmentAssociation for the year 2001, by the IHEA Board of Directors. Mr. Peterson officially takesoffice at the next IHEA Board of Directors meeting scheduled March 20, 2001, during theAssociation’s Annual Meeting in Orlando, Florida. As President, Mr. Peterson will serve asChairman of the IHEA Board of Directors and Executive Committee.

Mr. Peterson currently serves as the First Vice President of the Industrial HeatingEquipment Association. He has been a member of the Operational Information Committeesince 1985, serving as Chairman from 1991-1993. He also served on the MembershipCommittee and Government Relations Committee.

Mr. Peterson is President of the Drever Group, with headquarters at Drever Company,Huntingdon Valley, Pennsylvania, where he oversees the operations of Drever Company,Drever International, Liege, Belgium, Ing. F. Ferre & C. SpA, Milan, Italy, Drever-Beijing,Beijing, PRC and Drever-Japan, Yokahama, Japan.

He has a B.S. degree from the University of Rhode Island and prior to assuming leadership at Drever, he served asExecutive Vice President-International, Vice President-Sales and Manager of the Steel Mill Equipment Division, havingjoined Drever Company in 1976.

2001 IHEAOFFICERS

IHEA Elected OfficersPresidentSteven R. PetersonDrever CompanyFirst Vice PresidentMario CiampiniIpsen International, Inc.Second Vice PresidentJohn M. Cole, P.E.Kolene CorporationTreasurerBradley M. AndreaeTherma-Tron-X, Inc.

IHEA ExecutiveCommitteeSteven R. PetersonDrever CompanyBradley M. AndreaeTherma-Tron-X, Inc.John A. BarryAjax Electric CompanyMario CiampiniIpsen International, Inc.John M. Cole, P.E.Kolene CorporationGeorge J. PaulonisKromschroder Inc.C. Carl Marcucci, P.E.Walmil Company

IHEA Board of Directors

Term Expires 2001:

C. Carl Marcucci, P.E.Walmil CompanyMario CiampiniIpsen International, Inc.John M. Cole, P.E.Kolene CorporationVirgus VolertasHoneywell Sensing andControls DivisionGeorge J. PaulonisKromschroder Inc.Steven R. PetersonDrever Company

Term Expires 2002:

Bradley M. AndreaeTherma-Tron-X, Inc.John A. BarryAjax Electric Company

Term Expires 2003:

Jeffrey W. BoswellSeco/Warwick CorporationDr. Louis EtschmaierHauck Manufacturing Co.Dave LurieIndustrial HeatingBrian RussellDry Coolers Inc.

IHEA Executive Vice PresidentJames J. Houston, CAE

Legal CounselArthur L. HeroldWebster, Chamberlain & Bean

CECOF Delegates Meeting in BrusselsThe European Committee of IndustrialFurnace and Heating EquipmentAssociations (CECOF) held their 28thCECOF Delegates Assembly 2000 meetingSeptember 22, 2000, in Brussels, Belgium.Countries represented at the meetingincluded: Austria, Belgium, France, Germany, GreatBritain, Italy, Switzerland and the U.S. Thirty-tworepresentatives were present. Carl Marcucci, IHEAPresident and Jim Houston, IHEA Executive VicePresident attended the meeting representing the U.S. IHEA is an associate member of CECOF.

The meeting included: business reports; world tradeshow participation; EC-Industrial Policy and itsimplications for the industrial furnace industry;economic situation of the industrial furnace industry;

situation of CEN TC 186; ATEX Directive; introduction of CECOF’s new website; and election of the CECOFPresident, Michel Debier, Belgium and Vice President,Nicolas Shirt, Great Briatain.

CECOF represents the relevant national associations for industrial furnace and heating equipment in Europe which includes 150 member companies of theassociations. They represent more than 80 percent of the European production. Their world market shareamounts to 60 percent of total world export in the fieldof industrial furnace and heating equipment.

130 Attend IHEA’s Seminars in 2000Over 130 representatives participated in IHEA’s twoseminars in 2000. Ninety-three attended the CombustionTechnology Seminar held in October. Forty-three attendedthe Standards Seminar held in May. Companies sendingpersonnel to the IHEA Seminars in 2000 include thefollowing:

The Industrial Heating Equipment Association is in theprocess of defining an agreement with the U.S. Departmentof Energy’s Office of Industrial Technologies (OIT) to be an active partner with OIT under the Allied Partnershipprogram.

The DOE Allied Partnership is a key element of theIndustries of the Future (IOF) BestPractices program. AlliedPartners include national industrial associations, privatecompanies, state government agencies, and publicorganizations. Allied Partners work to provide energyefficiency information, and productivity tools for theircustomers through applications of new technologies andimproved practices for the design, operation, andmaintenance of industrial systems such as motors,compressed air, pumping, steam, and process heating.

IHEA cosponsored development of a “Roadmap for ProcessHeating Technology” with DOE’s Office of IndustrialTechnologies. This Roadmap, which was developed incooperation with industrial end users of process heating,identifies various process heating performance goals as

well as the possible technological, institutional, regulatory,and market concerns. The Roadmap further prioritizesresearch and development initiatives. The Roadmap will be published in the Spring of 2001.

In 2000 a “Process Heating Steering Committee” wasformed to advise the IOF Steering Committee on ProcessHeating and implementation of key initiatives from theProcess Heating Roadmap. IHEA representatives serving onthe committee include: Doug Perks, Eclipse, Inc.; RaymondRogowski, Honeywell International; Oleg Fishman,Inductotherm Industries, Inc.; Mario Ciampini, IpsenInternational, Inc.; and Thomas Nichols, Rolled Alloys.

Under an Allied Partnership agreement, DOE and IHEAwould coordinate programs to meet the IOF BestPracticesgoal of increasing awareness of industrial energy efficiency.The Allied Partner program and network of partners existsto ultimately provide various tools, information andassistance to industrial manufacturers and end-users ofprocess heating equipment to improve energy efficiencyand lower operating costs. �

3

DOE/IHEA Allied Partnership Under Consideration

2001 IHEAPrograms andActivities

IHEA 2001 AnnualMeetingMARCH 20-24, 2001Hyatt Regency GrandCypress, Orlando, Florida

The four day meetingincludes officers reports,business sessions,workshops andpresentations on businesstopics by guest speakers.

IHEA 11th SafetyStandards SeminarMAY 7-8, 2001Chicago O’Hare MarriottChicago, Illinois

The Seminar provides anopportunity for companypersonnel to gain a betterunderstanding of the NFPA86 Series Safety Standardswhich cover a wide varietyof industrial heat processingequipment in use today.Cost of the seminar is $675per attendee ($550 for IHEAmembers). It includestuition, seminar materials,copies of the NFPAStandards, reception, andtwo luncheons.

IHEA 32ndCombustionTechnology SeminarOCTOBER 1-2, 2001Chicago O’Hare MarriottChicago, Illinois

The seminar covers allfacets of combustionincluding: fundamentals;burner and flame retention;air blowers and fluid flow;fuel/air ratio control; air/fuelmetering; combustionefficiency; process controls;heat applications for lowand high temperatures;NOx; flame safety andsequence; and combustionsystem safety. Cost of theseminar is $675 ($550 forIHEA members). It includestuition, seminar materials,IHEA Combustion Manual,two luncheons, andreception/exposition.

IHEA Fall BusinessConferenceOCTOBER 2001Arlington, Virginia

Conference will includeIHEA committee meetings inthe morning, with briefingsin the afternoon by industryand governmentrepresentatives on subjectsof current interest.

Visit IHEA’s website for moreinformation on these activities.

AK Steel Alcan Aluminum Company Armil/CFS Inc. Armstrong International Arvin Meritor Suspensions

Systems Automatic Switch CoBelco Industries, Inc.Bethlehem Steel Corporation Bloom Engineering Co., Inc. Bricmont, Inc. Centorr/Vacuum

Industries, Inc.COE Manufacturing Company Coen Canada, Inc.

Consolidated Engineering Co.Corbitt Manufacturing

Company Defense Supply Center-

Richmond Drever CompanyEisenmann Corporation Elco Textron, Inc. Electric Furnace Company Elnik Systems Engineering Services

Group, Inc. Exothermics FECO, a Park Ohio Company Fostoria Industries, Inc.

Ganco Clark General Motors Ginter Vast CorporationGlenro, Inc. Goodyear Tire & Rubber

CompanyThe Grieve CorporationHarper International Harrop Industries, Inc.Hauck Manufacturing

Company Heat Machinery Corporation Industrial Thermal

Systems, Inc. Infratrol Manufacturing Corp.Invensys Building

Systems, Inc. Ipsen International, Inc. Kolene Corporation Kromschroder Inc.The Lanly CompanyLogan Aluminum, Inc. LOI, Inc.

Lone Star Steel Company Maxon Corporation Moco Thermal Industries, Inc. Modern Equipment CompanyNiels Jorgenson Company, Inc. NUTEC Industrial Oregon Steel Mills P.T. ClatexPercom Industries Schott Glass Technologies, Inc. Seco/Warwick CorporationSpecial MetalsSurface Combustion, Inc. Texaco Therma-Tron-X, Inc.Thermo-Temp, Inc.Thomas Industrial

Services, Inc. Thorpe Technologies, Inc.The Timken CompanyWisconsin Oven CorporationThe Worthington Steel

Corporation

Carl Marcucci, IHEA 2000President, and Jim Houston,IHEA Executive Vice President,in attendance at CECOF’s 2000Delegates Assembly heldSeptember 22 in Brussels.Laurent Favarger, delegate fromSwitzerland, also in picture.

relationship is to help U.S. industries implement anddemonstrate best practices in process heating which willlead to equipment performance optimization, improvedproductivity and energy efficiency.

The revised IHEA organizational structure initiated in 2000 has been very successful in establishing a closer linkbetween committee chairmen and the directors. Eachcommittee now has a member of the Board to representthem at Board meetings providing a more comprehensiveunderstanding of projects and activities. An inductiondivision committee has been added in 2001.

IHEA’s website continues to bring users and interestedparties throughout the world closer to the members. Thechanges incorporated into the site this year certainly havebeen effective and provide more meaningful reasons formembers and users to visit the site.

The Association will continue to focus on the goals set bythe organization which include providing leadership anddirection for the heat processing industry, its members and related interests. �

Angel Flight to WashingtonEn route to IHEA’s Fall Business Conference held October19, 2000, in Arlington, Virginia, John Acker, Brad Andreae,and Roger Kinnard were accompanied by a six year old IronMountain Michigan boy, his mother, and grandmother onthe company’s corporate jet, an eight passenger CessnaCitation S2. With seats available on TTX’s plane toWashington Reagan National Airport for the meeting, the“Corporate Angel Network” was advised and transportationon the plane was set for the young boy, stricken with abrain tumor affecting his sight, to travel to Washington,D.C. for treatmentby a brainspecialist atChildren’sNational MedicalCenter.

Mr. John Acker,President ofTherma-Tron-X,Inc., indicated

the company participates in the national “Corporate AngelNetwork,” a not-for-profit organization, that coordinatestravel to medical facilities for cancer patients on corporateaircraft when seats are available. Because Therma-Tron-X’saircraft flight schedule did not include an East Coastdestination during the week after the boy’s hospital stay,and no other “Corporate Angels” were available, TTXfurther provided the family with commercial airline ticketsfor their return home.

Therma-Tron-X, Inc., an active member of IHEA, designs,manufactures and installs custom engineered spray andimmersion washers, dryoff, cure and process ovens, waterand waste treatment equipment, conveyor systems,complete turnkey electrodeposition coating and powderand spray finishing systems.

The IHEA Fall Business Conference is held annually in theWashington, D.C. area and is attended by representativesfrom the Association’s member companies. The conferenceincludes committee meetings, presentations, anddiscussions on topics of interest applicable to the heatprocessing industry. �

I H E A U P D A T E S

4

PRESIDENT’S MESSAGE continued from page 1

Outlook For Orders in 2001Eighteen member companies participated in IHEA’s AnnualForecast Survey conducted the last quarter of 2000 to obtaina pulse of the industrial heat processing industry in respectto anticipated business conditions for the year 2001.

Thirteen companies participating in the survey expect an increase in their orders for 2001 over 2000. The averageincrease anticipated is 13 percent (10 percent median). The highest percentage increase expected by any onecompany is 50 percent and the low is one percent. Two companies expect orders to be below 2000 with three companies expecting no change.

Five companies predict orders will be up for the industry in 2001. The average expected percentage increase forindustry orders is seven percent (median four percent). Thehighest increase indicated was 15 percent and the lowest two percent. Eight companies believe orders for theindustry will be down in 2001. Four companies expect nochange for the industry. �

2000 Orders Show DeclineTotal domestic and foreign orders for industrial heatprocessing equipment for the first three quarters of 2000were down compared to the same period in 1999. Asreported by the same 22 member companies, equipmentorders totaled $345.53 million, down eight percent fromorders reported for the first three quarters of 1999.

Domestic orders for all equipment for the three quarterstotaled $248.57 million, down 10 percent from the firstthree quarters in 1999. Foreign orders totaled $57.96million, up seven percent from the previous year.

2000 domestic industrial furnace and oven orders were$115.68 million, down 28 percent from 1999. Otherdomestic equipment orders, including atmospheregenerating equipment, process control systems, industrialcombustion equipment, replacement parts and other types of equipment totaled $171.89 million, up sevenpercent from the same period in 1999. �

I N D U S T R Y N E W S

IHEA Welcomes New Members

INDUCTOTHERM FURNACE

AND TECHNOLOGY GROUP

10 Indel AvenueRancocas, NJ 08073The company manufacturesinduction furnaces, industrialfurnaces and ovens andinstrumentation and controls.Voting Representative to IHEAis Dr. Oleg S. Fishman, VicePresident, Chief TechnologyOfficer. Bernard M. Raffner,Vice President, Engineering, is the Alternate VotingRepresentative.

AJAX MAGNETHERMIC

CORPORATION

1745 Overland AvenueWarren, OH 44482The company manufacturesindustrial furnaces and ovens.Voting Representative to IHEA is Dan Gagliano, VicePresident Sales & Marketing.Gerald Jackson, Manager,Heating Products, is theAlternative VotingRepresentative.

HEAT TREATING PROGRESS

MAGAZINE

9639 Kinsman RoadMaterials Park, OH44073-0002Heat Treating Progress is amagazine focusing on thebusiness and technology ofthe heat treating and relatedthermal processes. VotingRepresentative to IHEA isTimothy R. McNichols,Publisher. Rob Wehrenberg,Editor-in-Chief, is the AlternateVoting Representative.

participate in two of the three planned discussions. Themeeting will also include reports by the officers andmeetings of the division committees.

The 2001 Program will conclude with a presentation by an award winning journalist who became the first printreporter to be jointly employed by both a magazine and a television network, Time magazine and CNN. JamesCarney began reporting on Congress in March 1996 aftertwo and one-half years as a White House correspondent. In addition to covering President Clinton’s domestic and foreign policies, he reported stories on the internalworkings of the White House. Mr. Carney will provide theattendees with an inside report of the happenings inWashington.

The meeting will open on Tuesday, March 20, 2001, with the evening “Welcome Reception” and conclude onSaturday morning, March 24, 2001, with James Carney’sremarks.

Jeff Boswell, Vice President, Seco/Warwick Corporation isChairman of the IHEA Program Planning Committee. �

IHEA ANNUAL MEETING continued from page 1

New IHEA BoardMembers

Jeffrey W. BoswellSeco/Warwick Corporation

Dave LurieIndustrial Heating

Brian RussellDry Coolers Inc.

Virgus VolertasHoneywell Sensing and Controls Division