Transaction Strengthens RTI’s Downstream Position as a Leading Provider of Advanced Titanium Products and Services. Enhances RTI’s Precision Machining and Collaborative Engineering Capabilities in the Aerospace and Defense Market and Provides Access to the Significant Growth Opportunities in the Medical Device Market

Business Wire/Pittsburgh

RTI International Metals, Inc. (NYSE: RTI) (“RTI”), a global supplier of advanced titanium mill products and fabricated components, today announced that it has entered into a stock purchase agreement under which it will acquire Remmele Engineering, Inc. (“Remmele”) in a transaction valued at $182.5 million, with approximately $164.5 million in available cash and the assumption of approximately $18.0 million in debt. Remmele, acquired by Goldner Hawn Johnson & Morrison, Incorporated in 2007, provides precision machining and collaborative engineering, as well as other key technologies and services, for the aerospace and defense and medical device sectors. The acquisition is being financed from the deployment of RTI’s existing cash reserves. It is expected to close before the end of the first quarter of 2012 and be immediately accretive to earnings.

The acquisition is expected to accelerate and dramatically transform RTI’s downstream fabrication strategy in the aerospace and defense sector while providing entrance to new contract manufacturing end markets, such as the fast-growing medical device market. Customers of the combined organization will benefit from the complementary strengths of RTI and Remmele as an integrated titanium manufacturer. Remmele’s expertise in engineering and precision machining of titanium for the medical device sector is expected to enhance RTI’s aerospace and defense capabilities, and RTI’s titanium manufacturing experience will help broaden the product offering to Remmele’s existing customers, and open the door to serving new customers.

“I am pleased to have such a high quality organization become part of RTI. Remmele has a strong reputation among many of our shared aerospace and defense customers and holds the same standing in the medical device market,” said Dawne S. Hickton, Vice Chair, President, and CEO of RTI. “Our aerospace and defense customers are increasingly looking for partners that can provide a broader, more complete offering of titanium products and services alongside best in class engineering design, and this acquisition directly addresses that need. The addition of Remmele’s advanced manufacturing platform and expertise reinforces RTI’s position as the supplier of choice for advanced, high quality
titanium fabricated products and precision machined components.”

Transaction Highlights

Upon the closing of the transaction, Remmele’s key senior leadership will remain with and continue to lead the Remmele organization. The deal is expected to be immediately accretive to RTI’s earnings per share, before including the anticipated benefit from any cost or revenue synergies. The combination is also expected to provide meaningful revenue synergies through the expanded product offering to existing and prospective customers.

Following the close of the transaction, it is expected that RTI’s cash, cash equivalents and highly liquid investments would total approximately $165 million, leaving ample liquidity to pursue future strategic initiatives.

The proposed transaction is expected to close during the first quarter of 2012, subject to customary closing conditions, including regulatory approvals.

Barclays Capital acted as financial advisor to RTI, and Buchanan Ingersoll & Rooney PC acted as RTI’s legal advisor. Greene Holcomb & Fisher LLC was the financial advisor to Remmele, and Faegre Baker Daniels LLP acted as the legal advisor.