Unique Fabricating Inc., which engineers and manufactures multi-material foam, rubber and plastic components utilized in noise, vibration and harshness management and air/water sealing applications for the automotive and industrial appliance market, announced it will close its manufacturing facility in Port Huron, Michigan. The move is being made to further streamline the company’s operations, improve efficiency and better position its production assets to support growth.
The company expects to close its Port Huron manufacturing facility in March 2018 before its lease expires and plans to transfer scheduled production to the company’s existing manufacturing facilities, including plants located in Auburn Hills, Michigan; Louisville, Kentucky; and London, Ontario. The decision will impact approximately seven employees. Unique Fabricating says it has committed to providing severance and transition assistance to all affected employees.
In connection with this closure, the company expects to incur charges of approximately $50,000 to $150,000 related to severance costs, and approximately $50,000 to $150,000 related to equipment relocation and other closing considerations. The potential cost-savings related to the close are expected to exceed $200,000 annually. The company will provide an update to investors during their fourth quarter and year-end 2017 earnings conference call.
“The contributions from the Port Huron team played a key role in the Intasco integration effort, and I would like to thank each of our employees at this facility for their commitment, service and ongoing support,” said John Weinhardt, CEO of Unique Fabricating. “The consolidation of this facility into existing plants streamlines our operations and places our organization in a better geographical position to grow at expected higher volumes in the future. I am confident this rationalization of our production facilities will make us a stronger organization overall and is the best long-term solution for Unique Fabricating and our shareholders.”
