STOCKHOLM — As it continues to optimize its production structure, Haldex has said it will consolidate two of its Hydraulics Divisions production units in the U.S. into one plant. In the coming months, Haldex’s plant in Statesville, N.C., will be closed following the transfer of manufacturing to the company’s plant in Rockford, Ill.
Following the merger and investments, the plant in Rockford will be a state-of-the-art operation with world-class processes in line with lean manufacturing principles for production, development, quality, logistics and customer support.
A number of employees in Statesville will be given the opportunity to relocate to Rockford.
The merger will be implemented in mid-2010. Restructuring costs will total approximately $1.8 million, and will be posted in the first quarter of 2010. Annual savings to the company as a result of the consolidation is estimated to be approximately $3.2 million.
The consolidation is part of an effort to create a more efficient organization and reduce costs within the Haldex Group, the company said.
“The merger is logical because the plants manufacture similar products," said Joakim Olsson, president and CEO of Haldex. "This measure will enable us to take another step toward an optimized and cost-efficient group structure, enabling us to focus on areas where we can achieve a sustainable market position with innovative and leading products.”
Haldex (www.haldex.com), headquartered in Stockholm, Sweden, is a provider of proprietary and innovative solutions to the global vehicle industry, with focus on products in vehicles that enhance safety, environment and vehicle dynamics.
