Tower Automotive to Relocate Production of Ford Ranger Frame Assemblies
NOVI, Mich.--Oct. 5, 2005--Tower Automotive (OTC BB: TWRAQ) today announced that it will relocate production of Ford Ranger frame assemblies from its Milwaukee, Wisconsin facility to its facility in Bellevue, Ohio. The Company said that the operational consolidation is a part of its efforts to improve operational efficiency and reduce costs. The Company expects no interruption in product shipment to Ford Motor Company due to the consolidation.Bill Pumphrey, Tower Automotive's President of North American operations, said, "Securing Tower's future as a leading supplier to the automotive industry is the primary objective of our restructuring. This consolidation of operations is designed to help Tower become a stronger, more cost-competitive company. We recognize that this action affects our colleagues, and we feel deeply for those affected by this action. However, it is a necessary step toward Tower's successful emergence from Chapter 11."
Tower expects that the consolidation of its Milwaukee operations into the Bellevue facility will be complete by March 2006, at which point production at the Milwaukee facility will cease. This action will affect approximately 300 colleagues at the Milwaukee facility. As required under the Workers Adjustment and Retraining Notification Act, Tower notified employees in August of the Company's intention to reduce the workforce. Additionally, Tower has been in contact with the unions that represent its Milwaukee employees regarding this action.
About Tower Automotive
Tower Automotive, Inc. is a global designer and producer of vehicle structural components and assemblies used by every major automotive original equipment manufacturer, including BMW, DaimlerChrysler, Fiat, Ford, GM, Honda, Hyundai/Kia, Nissan, Toyota, Volkswagen and Volvo. Products include body structures and assemblies, lower vehicle frames and structures, chassis modules and systems, and suspension components. Additional company information is available at www.towerautomotive.com.