ArvinMeritor Closing Plant

TROY, Mich.--ArvinMeritor Inc. is closing its Fairfield, Iowa, manufacturing facility. The company cited weakened demand, its strategy to divest non-core business, as well as required investments in tooling and equipment at the plant as reasons for the decision.

The Fairfield facility manufactures marine and construction driveshaft components and assemblies, emplying about 265 people. On-highway driveline products will continue to be produced at regional Customer Value Center plants. The Fairfield plant is scheduled to close in late summer 2001.

“Upon recently announcing the possibility of closing the Fairfield facility, the company held discussions with union representatives and local business leaders about the identified closure rationale,” according to a statement issued by Tom Gosnell, president of the firm’s Commercial Vehicle Systems division. “Since these meetings did not provide viable alternatives, the company made the final decision to close.”

Gosnell said the company will provide plant employees with outplacement assistance, and he acknowledged the quality work and dedication employees have contributed.

“Decisions like these are never easy. A careful review of business conditions and industry dynamics relative to our core strategy made it clear we needed to make necessary adjustments to protect our ability to remain competitive,” Gosnell said.

The company serves light vehicle, commercial truck, trailer and specialty original equipment manufacturers and related aftermarkets. It employs 36,000 people at more than 150 manufacturing facilities in 26 countries.

For more information, contact www.arvinmeritor.com.