Commercial Vehicle Group Announces Closure Of DeKalb, IL Facility
NEW ALBANY, Ohio, May 2, 2013 /PRNewswire/ -- Commercial Vehicle Group, Inc. (Nasdaq: CVGI), a leading supplier of fully integrated system solutions for the global commercial vehicle market, today announced the Company's plans to permanently close its wire-harness assembly facility located in DeKalb, Illinois.
The work currently being performed at DeKalb will be transferred to CVG facilities in Edgewood and Monona, Iowa. Seventy-five employees will be impacted by this closure, which is expected to be completed during the third quarter of 2013.
Kevin R.L. Frailey, President & General Manger of Electrical Systems for CVG stated, "To remain competitive, we continually evaluate CVG's manufacturing footprint based on changing customer demand and industry trends. As a result, we are realigning our North America wire-harness capacity and consolidating our North American footprint from five to four wire-harness facilities."
"We regret having to close our DeKalb facility and understand the impact this action will have on our employees and their families. However, following a long-term, extensive analysis of our business and changing customer needs, it is a step we have to take to keep CVG an efficient and cost-effective competitor in an evolving global economy," Frailey said.
About Commercial Vehicle Group, Inc.
Commercial Vehicle Group is a leading supplier of a full range of cab related products and systems for the global commercial vehicle market, including the heavy-duty (Class 8) truck market, the construction, military, bus and agriculture markets and the specialty transportation markets. The Company's products include static and suspension seat systems, electronic wire harness assemblies, controls and switches, cab structures and components, interior trim systems (including instrument panels, door panels, headliners, cabinetry and floor systems), mirrors and wiper systems, specifically designed for applications in commercial vehicles. The Company is headquartered in New Albany, OH with operations throughout North America, Europe, Asia and Australia. Information about the Company and its products is available on the internet at www.cvgrp.com.
This press release contains forward-looking statements that are subject to risks and uncertainties. These statements often include words such as "believe," "expect," "anticipate," "intend," "plan," "estimate," or similar expressions. In particular, this press release may contain forward-looking statements about Company expectations for future periods with respect to facility closure timing, customer demands, industry trends, the Company's financial position or other financial information. These statements are based on certain assumptions that the Company has made in light of its experience in the industry as well as its perspective on historical trends, current conditions, expected future developments and other factors it believes are appropriate under the circumstances. Actual results may differ materially from the anticipated results because of certain risks and uncertainties, including but not limited to: (i) general economic or business conditions affecting the markets in which the Company serves; (ii) the Company's ability to develop or successfully introduce new products; (iii) risks associated with conducting business in foreign countries and currencies; (iv) increased competition in the heavy-duty truck market; (v) the Company's failure to complete or successfully integrate strategic acquisitions; (vi) the impact of changes in governmental regulations on the Company's customers or on its business; (vii) the loss of business from a major customer or the discontinuation of particular commercial vehicle platforms; (viii) the Company's ability to obtain future financing due to changes in the lending markets or its financial position; (ix) the Company's ability to comply with the financial covenants in its revolving credit facility; and (x) various other risks as outlined under the heading "Risk Factors" in the Company's Annual Report on Form 10-K for fiscal year ending December 31, 2012. There can be no assurance that statements made in this press release relating to future events will be achieved. The Company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results over time. All subsequent written and oral forward-looking statements attributable to the Company or persons acting on behalf of the Company are expressly qualified in their entirety by such cautionary statements.
SOURCE Commercial Vehicle Group, Inc.