Kennametal Selling Drill Business To Top Eastern

LATROBE, Pa. (AP) -- Kennametal Inc. said Tuesday it will sell its high-speed steel drill business to Top Eastern Drill Co.

Kennametal said it would receive $29 million in proceeds and record a pretax loss of $30 million to $33 million. That would mostly be recorded in the quarter that ends June 30. The deal is expected to close in June.

The deal includes four facilities that employ about 400 people. Those are in Evans, Ga.; Clemson, S.C.; Mississauga in Ontario, Canada; and Mexico City.

Kennametal shares fell 5 cents to $18.25 in morning trading.

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