Strengths: Horsehead Corporation is one of the top manufactures of Zinc in the U.S. One of the main uses of Zinc is in making protective coatings for steel and iron. Zinc protects iron and steel from corrosion. Horsehead also makes zinc oxide, used in tires, chemicals and paints and recovers and sells nickel from waste. Zinc alloys are used in making many components that can be used in the manufacture of automobiles. Zinc can also be used to make batteries such as zinc-air batteries and zinc-manganese batteries. These are only a few applications of zinc. There are many more which means that there is a great demand and a huge market potential for zinc. There is a higher grade of zinc which is produced at Mooresboro, known as SGH and with this this could expand the current market by ten times. SGH is …show more content…
With the opening of the Mooresboro in May they saw them producing 2,900 tons in June but in July they had to shut the plant down for repairs, which puts the recovery of the company making money once again behind schedule. But their saying is that, this is only a minor setback and should result in reliable and substantially better operations. With the repairs in Mooresboro, the stock price keeps on dipping where shareholders are wondering where and when they will see a return on their investment. When they get Mooresboro up and running that’s where the company is putting extra dollars for repairs that should have never happened especially being a new plant. Opportunity: There’s ample opportunity to be had here for this company. When the repairs are done the projections shows that this plant will produce 155,000 pounds of zinc. This company is the world’s largest zinc producer in North America. They produce the mineral by electric arc furnace a waste product for steel making. Horsehead makes its money two ways by carting off the waste of steel makers then reprocessing it and sells the