ZCA files for Chapter 11 protection

MONACA, Pa. (Aug. 28)—Zinc Corporation of America has filed for Chapter 11 bankruptcy protection to reduce its debt load. The manufacturer of zinc oxide, used to help cure rubber, filed for protection under the U.S. Bankruptcy Code so that "we will continue our operations without interruption," Chairman Dave Carpenter said in a letter to ZCA suppliers. The company is in the process of putting together a reorganization plan, he said, which then must be approved by creditors and the court. "Operationally we're fine," said Jack Bechdel, director of human resources. "We have a debt load problem and we need to reorganize to get our finances in order. But the business itself is fine." The largest subsidiary of New York-based Horsehead Industries Inc. has made several cost-cutting moves in the last year, including the elimination of some salaried positions. The company claims to be the largest zinc producer in the U.S. and the world´s foremost manufacturer of zinc products, including zinc oxide, dust and powder. It also produces zinc from recycled sources.