Johnson Controls Plans to Double Size of its Alabama Facility
1 February 1999
Johnson Controls Plans to Double Size of its Alabama Facility to Supply More Interior Systems for Mercedes-Benz M-Class Vehicles
Company's expansion expected to add 50 new jobs,
reflects growing popularity of automaker's new SUVs
PLYMOUTH, Mich., Jan. 29 -- Johnson Controls is
more than doubling the size of its Cottondale, Alabama manufacturing plant, as
it increases production of interior systems for Mercedes-Benz M-Class sport-
utility vehicles (SUVs). The Cottondale facility -- one of 275 facilities
worldwide operated by the Plymouth, Michigan-based automotive supplier -- will
be expanded this year from its current size of 65,000 square feet to 153,000
square feet.
The plant currently manufactures seats and overhead systems for Mercedes-
Benz SUVs assembled in North America. Johnson Controls also supplies door
panels, interior quarter panels and other components for the vehicles.
Mercedes-Benz assembles its two SUVs -- the ML320 and the new ML430 -- in
Vance, Alabama.
A groundbreaking ceremony for the plant addition is being held today at
the Cottondale site. Officials from DaimlerChrysler, Johnson Controls, and
local businesses and government agencies will be on hand for the event.
Johnson Controls is expanding the plant to add production capacity, as
sales of DaimlerChrysler's popular SUVs boom in North America and Europe. The
automaker recently announced plans to increase output at its Vance vehicle
assembly facility from 65,000 to 80,000 units annually.
The added space also will enable Johnson Controls to relocate component
sequencing work -- currently done in a leased warehouse -- to the Cottondale
plant, and to produce interior components for export.
"We're excited about the great success of M-Class sport-utility vehicles,
and their growing popularity around the world," said Hubert Eisengarten,
Johnson Controls' business unit manager for Mercedes-Benz of North America.
"The Cottondale plant expansion reflects the success of a world-class vehicle,
while enabling us to further contribute to the economic vitality of the local
community."
According to Eisengarten, as many as 50 new jobs are likely to be added at
the facility.
Johnson Controls employees -- working at a leased site in the Cottondale
area -- currently receive components from other company facilities that are
prepared for sequential, "just-in-time" delivery to the Mercedes-Benz Vance
vehicle assembly plant. Among the products handled are door panels, interior
quarter panels and other interior components manufactured at Johnson Controls
plants in Battle Creek, Michigan and Nashville, Tennessee. The entire
operation will be moved to the expanded Cottondale facility in the summer of
1999.
The Cottondale plant also will launch production of interior systems for
Mercedes-Benz M-Class SUVs -- targeted for the European market -- that will be
built in Graz, Austria. Recently, the automaker signed an agreement with
Austria-based Steyr-Daimler-Puch, under which that company will build 30,000
M-Class vehicles annually.
The Plymouth, Michigan-based automotive business of Johnson Controls --
which employs more than 57,000 people at 275 facilities worldwide --
achieved US$9.3 billion in sales for the 1998 fiscal year. In model-year 1999,
it will supply interior products for more than 22 million vehicles.
Johnson Controls, Inc. is a global leader in automotive systems and
facility management and control. In the automotive market, it is a major
supplier of seating and interior systems, and batteries. For non-residential
facilities, Johnson Controls provides building control systems and services,
energy management and integrated facility management. Johnson Controls,
founded in 1885, has headquarters in Milwaukee, Wisconsin. Its sales for 1998
totaled US$12.6 billion.
Fact Sheet
Johnson Controls Expands its Cottondale, Alabama Plant
For Production of 1999 Mercedes-Benz M-Class Interior Systems
Customer: DaimlerChrysler
Vehicle Program: 1999 Mercedes-Benz M-Class Sport-Utility Vehicle
(ML320 and ML430)
Products Supplied
By Johnson Controls: The Cottondale plant manufactures seat systems and
overhead systems. Other Johnson Controls plants
supply a range of interior systems to
DaimlerChrysler in Alabama, including door panels,
interior quarter panels and interior trim
components.
[JCI]Significance: Johnson Controls is doubling the size of its
Cottondale, Alabama plant and hiring 50 additional
employees to meet the requirements of its customer
-- DaimlerChrysler -- which is expanding
production of its M-Class sport-utility vehicles.
The company held a ground-breaking ceremony to
mark the plant expansion on January 28, 1999. The
work is expected to be completed in June 1999.
Size of Facility today: 65,000 square feet
After Expansion: 153,000 square feet
Date Opened: July 1996
Number of Employees: 200 today; and 250 after expansion at full
production in Summer 1999.
Manufacturing Volume: Approximately 80,000 seat systems and overhead
systems per year.
Current Mercedes-Benz
Brand Models Supplied
by Johnson Controls: In Europe: A-Class; C-Class; CLK; E-Class;
G-Model; MCC Smart; S-Class; SL; and SLK.
Company Background: Founded in 1885, Johnson Controls is the world's
leading supplier of automotive interior systems.
In its 1998 fiscal year, Johnson Controls, Inc.
recorded sales of $12.6 billion. The company's
Automotive Systems Group has 275 facilities
worldwide -- and employs 57,000 people.
The company manufactures products for most of the
world's major automakers.
CONTACT: David Roznowski of Johnson Controls, 734-254-5632.
Company News On-Call: http://www.prnewswire.com/comp/473547.html or fax,
800-758-5804, ext. 473547.
Web site: http://www.johnsoncontrols.com