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LEVI'S TO CLOSE 11 PLANTS; SLASH JOBS IN U.S., CANADA.


Byline: Rachel Beck Rachel Beck is an American reporter for the Lebanon Express in Lebanon, Oregon. Born 5 April, 1982, she was raised in Sisters, Oregon. In 2000, she graduated from Sisters High School[1]. She graduated from Vassar College with the class of 2004.  Associated Press Associated Press: see news agency.
Associated Press (AP)

Cooperative news agency, the oldest and largest in the U.S. and long the largest in the world.
 

Levi Strauss
This article is about the clothing manufacturer. For the anthropologist, see Claude Lévi-Strauss and for the company of the same name, see: Levi Strauss & Co..


Levi Strauss, born Löb Strauß
, the company that put baby boomers in jeans but has been shunned by today's teens, is closing 11 plants and laying off 30 percent of its work force in the United States and Canada.

The cutbacks announced Monday are Levi's latest step to bridge a generation gap that has eroded sales of its stodgy stodg·y  
adj. stodg·i·er, stodg·i·est
1.
a. Dull, unimaginative, and commonplace.

b. Prim or pompous; stuffy:
 five-pocket jeans with trendier offerings from the likes of the Gap, Tommy Hilfiger, MUDD MUDD Multi-User Dungeons and Dragons (game)
MUDD Multi-User Detector/Decoder
 and JNCO JNCO Jean Company (clothing line)
JNCO Junior Non Commissioned Officer (corporal) 
.

``There is no buzz for Levi's anymore,'' said Irma Zandl, who runs the marketing consulting firm Zandl Group. ``They missed the beat over and over, and kids have just moved on to hipper brands.''

``The only one I know who wears Levi's is my dad,'' said Susan Chang, 15, of New York's borough of Queens, who wore a pair of JNCO jeans as she strolled down a Manhattan street Monday.

``They don't have any styles I want,'' added her friend Sam Lee, 15.

Levi's will shutter 11 of its 22 plants in North America and lay off about 5,900 employees in the United States and Canada. Last year, it closed 13 U.S. plants and cut more than 7,000 jobs.

The reorganization comes after a tough year for Levi's, whose sales fell 13 percent to $6 billion. Levi's is privately held and doesn't disclose profits.

As it moves more production overseas, where costs are much lower, Levi's will have more money to spend on product development and marketing, two areas where it has been lagging in recent years.

Levi's has been especially slow at spotting fashion trends and producing products quickly. For instance, it failed to jump on the trends in recent years for super, wide-bottom slacks or cargo pants, which have large pockets on the thighs.
COPYRIGHT 1999 Daily News
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1999, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Title Annotation:BUSINESS
Publication:Daily News (Los Angeles, CA)
Date:Feb 23, 1999
Words:296
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