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HomeMy WebLinkAboutLucknow Sentinel, 2009-01-21, Page 1Wodimsdas January st2o@9 - • ... Week 4 — Vol. 136 $1.w gst included Publications Mail Registration No. 07656 N • pv Bringing Together Huron & Bruce dos ingham Lucknow and area has received its fair share of snow this winter and it doesn't seem to be stopping anytime soon. That put Chris Selby (bottom photo) to work clean- ing off the roofs of businesses on Campbell' St. BY GARIT REID Sentinel Staff Wescast Industries Inc. a manufacturer :: of exhaust systems announced last week that : it would be restructuring its North American operations sig- nificantly, which will see the loss of about 140 jobs. They will be closing the Wingham a North Huron foundry and transferring the plant's productions to its second : Wingham foundry, which is located �n ater St. The move coincides pri- marily due to the state of the economy, especially to the automotive industry. "The very difficult deci- sion to close the Wingham North Huron foundry came after a careful evalu- ation of, our cost ` structure, expected future business volumes and available capacity in other facili- ties," said Wescast Chairman and Chief Executive Officer Ed Frackowiak in their offi- cial press release. Wescast will look to close the plant by the end of the first quarter of this year and report it will look to save an estimated annu- al fixed savings cost of $10 million. dbllars. The restructuring charges asso- ciated with the reduced production volumes are expected to be in the range of $60-65 million dollars. A point Frackowiak wanted to stress is the 140 jobs being cut will be mostly workers,who are currently on:tmporary leave. The two Wingham foundries operate under the same collective bar gaining agreement, so the streamlining will impact workers at both plants. Wescastis a compa- ny that needs to : run at capacity and adhere tocus- tomer 'demand,- said Frackowiak. Current con- ditions in, the auto industry make it impossible to do that; thus the Wingham plant is slated for closing. "We've been hithard, but Wescast has done ar good job buffering through the storm. We are moth- balling the plant and have plans to reopen it in the future," said Frackowiak. Continued on page 2 Wescast Industries Inc., Wingham North Huron Foundry