PolyOne refines PVC compounding strategy. (Your Business in Brief).

PolyOne Corp., Avon Lake, Ohio, plans to reorganize its far-flung PVC compounding operations, shutter capacity at three locations, and reinvest in new processing equipment as a way to spur growth. PolyOne earlier announced similar plans for the rest of its Plastic Compounds and Colors group.

The lynchpin of PolyOne's reorganization is the creation of nine Centers of Manufacturing Excellence (CMEs) at existing production sites, each dedicated to specialized aspects of PVC compounding. Conversion of existing multi-purpose sites into CMEs with more defined roles is expected to occur by late 2002. At that time, three other PolyOne PVC compounding operations will be permanently shuttered.

Two of the plants scheduled for shutdown are in New Jersey. They are a facility in Burlington that makes rigid vinyls, and a second in Farmingdale that does laboratory work and compounding. A third plant to be closed is in Valleyfleld, Que. Products made there include Syncure crosslinked-PE compounds for wire and cable. That business is to be transferred to PolyOne's site in Macedonia, Ohio.

Another CME is the Avon Lake, Ohio, flagship facility, which will supply FDA grades for food and medical packaging, as well as rigid compounds for custom molding and profiles. Terra Haute, Ind., will supply rigid pipe-fitting compounds. Niagara Falls, Ont., will concentrate on compounds for custom and automotive profiles. A CME in Louisville, Ky, will focus on wire and cable compounds. The bulk of PolyOne's planned $19-million investment in its vinyl business over the coming year will be concentrated at these facilities.

For flexible PVC, additional CMEs are to be located in Orangeville, Ont. (for wire and cable), and Long Beach, Calif. (supporting the West Coast). Meanwhile, CMEs dedicated to dry powder blends will be located in Pasadena, Tex., Plaquemine, La., and St. Remi-de-Napierville, Que.