BSH Home Appliances Corp. To Move Southern California Manufacturing Facility
Aug 19, 2003
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BSH Home Appliances Corp. President and Chief Executive Officer Franz Bosshard announced that the company will relocate manufacturing from its Vernon, CA, U.S. plant to an alternate site in the U.S. The move is designed to advance the company's three primary initiatives of customer focus, product leadership, and operational excellence.

"Our goal always is to increase value to our customers by producing the highest quality products," said Mr. Bosshard. "The home appliance market is extremely competitive. As a global company, we need to take advantage of all the options available to us. Relocating some of our operations will reduce costs and give us greater flexibility in manufacturing."

The company is considering sites only in the U.S. for the relocation. "BSH is strongly committed to manufacturing in America," added Mr. Bosshard. "We are considering sites that will keep us close to the American market." The company currently operates manufacturing facilities in New Bern, NC and LaFollette, TN, U.S.

The move to the new location will take place in the first half next year with the Vernon plant expected to close in June. BSH acquired the Vernon plant in 1998. The Vernon plant currently employs 220 workers, approximately 150 skilled hourly workers, and 70 management and support staff.

"The decision to relocate production from Vernon was made after a full review of our manufacturing options and discussions with representatives of bargaining unit employees," said Stefan Lauwitz, vice president of Operations. "There are a number of key decisions that still need to be made. BSH is proud of the men and women who operate the Vernon plant. In keeping with the company's values and operating principles, we are committed to treating our associates with dignity and respect. We will keep them informed in a timely manner about decisions that affect their jobs."

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