With closure of Calif. plant, Rotonics completes restructuring plan
With closure of Calif. plant, Rotonics completes restructuring plan
November 15, 2010 – Commerce City, Colo. – Today, Rotonics Manufacturing, Inc. announced the closure of its Gardena, Calif. plant, completing the final phase of a complex restructuring and plant consolidation effort. Rotonics has consolidated plant operations from nine into three remaining locations in Colorado, Minnesota and Illinois. The company also recently completed the sale of its non-core tank manufacturing business, not related to Rotonics’ custom fuel tank division.
According to CEO Richard Leary, the consolidation of plant locations and sale of non-core assets is the result of a strategic assessment to focus on Rotonics’ strong domestic and international market position in its primary business segments, including Custom, Material Handling, Linen & Laundry, Refuse, Medical Waste, Custom Pallets, and Utilities. He says the completion of the restructuring effort positions Rotonics well for growth in its core markets while better serving the needs of its customers.
“Over the last several months, we have worked diligently with all of the personnel in Gardena to improve the plant’s operating performance,” said Leary. “Unfortunately, economic conditions and the market environment have prevented us from reaching a satisfactory return.”
While the announcement was made internally on Friday, Nov. 12, the effective date of the closure will be Jan. 11, 2011. “Over the next 60 days we will work closely with our customers to transition their business to our remaining facilities or other suppliers, and with our employees to ensure the transition is as painless as possible for them and their families,” concluded Leary.
Contact: Lynn Nelson, LIN PR, 612-990-0126, lnelson@linpr.com
About Rotonics
Thirty-five-year-old Rotonics is one of the largest rotational molding companies in the United States. The company offers custom rotational molding services that take a product from drawing, to pattern, to mold and then to finished part. Its three manufacturing branches across the country offer a diverse product line, from buoys and pontoons, linen and laundry carts to bins and pallets, and refuse containers. Rotonics works with hundreds of domestic and international companies, including many Fortune 500 companies, on their Original Equipment Manufacturer (OEM) part requirements. See www.rotonics.com for more information.
Tags: