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Reichhold Announces Intent to Close Bridgeville Site Products to Shift to Expansion at Morris, IL Site

Published on 2003-12-11. Author : SpecialChem

Today, Reichhold announced its intent to close it's Bridgeville facility located in Bridgeville, Pa., a property that Reichhold rents. Reichhold will transition the products produced at the Bridgeville facility starting in early 2004 with the expectation of closing the facility during the fourth quarter 2004.

In June, Reichhold announced specific plans to reinforce its commitment to market-focused, cost-effective business processes which included tactics like product and asset rationalization. As part of that commitment, Reichhold is optimizing its manufacturing operations by announcing its intent to close this facility which Reichhold does not own.

Reichhold is committed to supplying the northeastern U.S. and eastern Canadian markets and will continue to service its customers from other Reichhold sites in Valley Park, MO.; Pensacola and Jacksonville, FL; and Morris, IL. Current expansion is underway at Morris, IL, a site Reichhold owns, to assist with the needs of our customers. This operation is Reichhold's largest manufacturing facility in the U.S. which is currently sold out.The Morris site expansion will increase its current capacity by 35 percent, allowing for Reichhold to produce and serve its customers more effectively and efficiently. In addition to increasing the capacity of the facility, the expansion project includes plans for:

. the implementation of a bulk handling and automated charging of all solids;

. the implementation of state-of the-art silica mixing technology; and

. an upgrade to the process computer control system to ensure batch- to-batch product consistency.

Each upgrade is planned to continuously improve the quality and consistency of Reichhold's products in order to service its customer's and increase operating efficiency. Production is slated to go online in 2004.

"While closing a plant is always a difficult decision, this was the right business decision for Reichhold and its customers because we do want to invest in our business but we want to do that in property that we own rather than rent," said Gary Krall, chairman and CEO. "The improved production capabilities at Morris will allow us to deliver cost-effective products and services to our customers with increased speed and efficiency."

For more information on Reichhold and its products, visit www.reichhold.com or email productinfo@reichhold.com.

About Reichhold's Bridgeville Site

Reichhold's Bridgeville site is a leased facility situated on approximately 52 acres 25 miles southwest of Pittsburgh, Pa. The Bridgeville site produces unsaturated polyester resins and vinyl ester resins for the composites industry as well as producing polyester based powders and toners for the coatings industry.

About Reichhold's Morris Site

Reichhold's Morris site, situated on approximately 128 acres 65 miles southeast of Chicago, IL, was purchased in 1967. The Morris site produces unsaturated polyester resins for the composites industry as well as producing emulsions and polyurethane dispersions (PUD) for the coatings industry.

About Reichhold

Reichhold, with its world headquarters and technology center in Research Triangle Park, North Carolina, USA, is, together with its parent, Dainippon Ink & Chemicals (Tokyo, 4631) the world's largest manufacturer of unsaturated polyester resins and a leading coating and performance resins for the automotive, appliances, coatings, plastics, textile, construction, transportation, marine and graphic arts markets.

Reichhold has manufacturing operations throughout North America, Latin America and Europe. Founded in 1927, Reichhold's parent, Dainippon Ink & Chemicals (Tokyo, 4631) is also the world's largest producer of printing inks.

Source: Reichhold


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