Lenox Crystal Factory in Mt. Pleasant, Pa to Close; General Decline in Crystal Stemware Sales Cited.
Lenox, Incorporated, a subsidiary of Brown-Forman Corporation (NYSE: BF.B), announced today that it will discontinue production in early 2002 at its Lenox Crystal factory in Mt. Pleasant, Pennsylvania. The company manufactures crystal stemware (glasses) and gift items for the Lenox and Gorham brands at the Mt. Pleasant factory. The Lenox retail store located adjacent to the factory in Mt. Pleasant will remain open.
(Photo: http://www.newscom.com/cgi-bin/prnh/20011018/BROWNFORMANLOGO )
Lenox will continue to market crystal glassware and gift items under the Lenox and Gorham brand names by importing production from Europe.
"Closing the Mt. Pleasant plant was a very difficult decision for us," according to Jerry Ciszewski, president of manufacturing for Lenox. "Our marketplace in the U.S. has become more casual in lifestyle, and fine crystal stemware sales are declining for Lenox and Gorham. We view this trend as a long-term shift away from the crystal stems that we manufacture at Mt. Pleasant."
Ciszewski said that over the past 10 years Lenox management and the plant's labor union have worked hard to improve productivity, reduce costs and invest in our stemware production processes. "We were successful at reducing costs and becoming more competitive in our global crystal stemware manufacturing environment, but unfortunately the demand for fine crystal stemware has steadily declined as the marketplace evolves to the more casual consumer lifestyle."
Production at the facility will be phased out over the next few months, with the last day of production on January 31, 2002. This decision will affect approximately 158 employees at the Mt. Pleasant facility. The company will offer severance packages and job search assistance to these employees. Lenox, Incorporated, based in Lawrenceville, NJ, is a wholly-owned subsidiary of Brown-Forman Corporation, Louisville, KY. Lenox, Inc. includes Lenox china, crystal, & metal tabletop and gifts, Lenox collectibles, Gorham china, crystal and metal tabletop and gifts, Kirk-Stieff sterling silver and Dansk contemporary tabletop, housewares, and gifts.
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|Date:||Nov 2, 2001|
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