October 23, 2001
Stockholm, Sweden, October 23, 2001 - Atlas Copco-owned Milwaukee Electric Tool Corporation has announced a restructuring plan to improve production workflow and competitiveness. Milwaukee's plans include relocation of selected manufacturing and assembly responsibilities.
“The restructuring means that we will concentrate most of our manufacturing to the Mississippi - Arkansas area with Jackson becoming the hub of our southern plants”, said Daniel Perry, President and CEO of Milwaukee Electric Tool Corporation.
Approximately 130 employees from the Brookfield Plant and 50 employees from the Jackson Plant will be affected by the relocation of production to a new facility in Greenwood, Mississippi. The program will be combined with capital expenditures to renew and rationalize production. Better workflow, logistics, savings in manpower, and lower labor cost will pay back the investment within two years.
“This project will after completion enable us to shorten lead times, increase efficiency and make us overall more competitive”, said Perry.
The company expects some staff reductions through early retirement and natural attrition. In addition, whenever possible, qualified employees whose jobs are eliminated at one facility will be offered the opportunity to relocate to another Milwaukee facility where new jobs are created.
The restructuring should begin in the next 60 days and be completed by July 31, 2002.
Milwaukee is a leading North American manufacturer of heavy-duty electric tools and accessories with its corporate headquarters and a manufacturing plant in Brookfield, Wisconsin. The company has 2075 employees. Manufacturing facilities are also located in Kosciusko and Jackson, Mississippi; and Blytheville, Arkansas, with a distribution center in Olive Branch, Mississippi. Milwaukee offers more than 400 different tool models including drills, circular saws, grinders, reciprocating saws and rotary hammers. In addition, more than 3,500 Milwaukee accessories are available such as reciprocating saw blades, hole saws, wood boring bits, diamond core bits, and others to support tool products.
Atlas Copco is an international group of industrial companies with its head office in Stockholm, Sweden. In 2000, the Group had revenues of US$5 billion, with 98 percent of revenues outside Sweden, and about 26,000 employees. Atlas Copco companies develop, manufacture, and market electric and pneumatic tools, compressed air equipment and generators, construction and mining equipment, and assembly systems, and offer related services and equipment rental. More information is available at www.atlascopco-group.com.