tomwilli

Hi All,

Interesting report that John Deere is closing the manufacturing plant in Welland Ont putting 800 out of work. Plant been in operation for years and years ( 100 ? ).

Plant producted loaders and cutters along with some Gator parts. Plant was profitable, no warning signs on the horizon and was expecting to get a new line producing Gators. Meeting called and staff expected to be told about the new line but instead were told plant closing in 09 and operations moving to Wisconsin and Mexico.
Would bet the Gator part only is moving to Wisconsin and the loader\cutter ( which was the big part of it ) are moving to Mexico.

So, doesn't matter is your plant is profitable, you are at the mercy of more profitable.

Take care.

Tom

Dougster

Sorry to hear about that Tom. And yes, somehow I'll bet Mexico is going to get a lot more out of this plant closing than Wisconsin.

Count on it!

Dougster™

PaulChristenson

Deere to close plant in Canada / QCTimes.com

Deere to close plant in Canada

By Jennifer DeWitt | Wednesday, September 3, 2008 12:20 AM CDT

In a strategy aimed at consolidating equipment manufacturing capacity, Deere & Co. announced Tuesday that it will close its plant in Welland, Ontario, Canada, and transfer production to its operations in Wisconsin and Mexico.

The nearly century-old John Deere Welland Works is slated to close by the end of 2009. The closing impacts 800 employees, most of whom are production workers.

The Welland plant manufactures John Deere utility vehicles and attachments for its commercial and consumer equipment and agricultural equipment businesses. Production of the Gator utility vehicles will move to Deere’s operations in Horicon, Wis., where other Gator models and riding lawn equipment already are manufactured. Welland’s production of cutting and loading attachments will be transferred to Monterrey and Saltillo, Mexico.

Company spokesman Ken Golden said the employees were notified Tuesday of the decision. “They will have all of our support,” he said, adding that Deere will provide career counseling, one-on-one meetings as well as severance packages. “It is not easy to take this type of action.”

The company also has advised the Canadian Auto Workers, which represents the wage employees, of the decision. Per its contract, the union may request to have further discussions about the transition. “No one will leave before the end of February (2009),” he said.

“Manufacturing in Canada has been financially challenging because of the exchange rate,” Golden added.

A small number of salaried jobs — in the engineering and management ranks — may be transferred to Deere’s facility in Grimsby, Canada, Golden said. In addition, a large percentage of the salaried workers are of retirement age.

Deere opened the factory on April 7, 1910, according to the plant’s Web site. The next year, it purchased Dain Manufacturing Co. Limited, also in Welland.

Golden said the decision is part of Deere’s strategy to consolidate its manufacturing capacity in certain product lines.

News of the closing comes less than one week after Deere announced plans to invest nearly $180 million to expand its manufacturing capacity in Waterloo, Iowa, and Horizontina, Brazil. It is Deere’s first plant closing since it closed a forestry equipment plant in Woodstock, Ontario, Canada, in early 2006.

The company said the action will result in after-tax charges of approximately $90 million, about half of which will be recorded in the fourth quarter of 2008.

Jennifer DeWitt can be contacted at (563) 383-2318 or jdewitt@qctimes.com.

Paul in VT

I used to own an ant farm but had to give it up. I couldn't find tractors small enough to fit it.
-- Steven Wright

vansimplement

No good, no good at all. The sad part is our economy is probably going to continue heading that direction for the foreseeable future.

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Underdog

Looks like they have long range plans for leaving North America.
Lawn & Landscape Magazine :: News :: John Deere Closes Canadian Plant, Opens European and South American Locations

Any way 1910 would make that plant part of Deers original foundation.
Timeline - 1900
1912 The modern Deere & Company emerges. It consists of 11 manufacturing entities in the US and one in Canada, and 25 sales organizations—20 in the US, including an export department, and five in Canada. The company also operates a sawmill and owns 41,731 acres of timberland in Arkansas and Louisiana. Harvester Works built in East Moline.

Looks like the Company really started changing about here: 1990 Hans W. Becherer, president since 1987 and CEO since 1989, is elected chairman upon the retirement of Robert Hanson.

tomwilli

Hi All,

Have to agree that John Deere and most others have been changing greatly over the past # of years and in many cases, not for the best.

Biggest disappointment for me was buying the Chinese tractor plant so just waiting to see what is going to come over from that plant.

Not enough to make a profit, gotta make megga profits even at the sake of the livehood of many.

Take care, have a good one and get ready for the rain and wind.

Later

Tom

Dougster

It's a way of life today Brother Tom. But it must be what folks here in North America want or all these companies wouldn't be able to sell their worthless Chinese crap.

Dougster™

irwin

Part of the big picture to globalize the U.S. economy. To put it another way "it's the continuing trend to increase to flow of money".......out of the U.S.A

There will always be a market for something a few dollars cheaper. I know people that will drive 30 miles round trip to fill up their gastank at a station that's 15 cent a gallon cheaper. It costs about $4.00 to get there and back. It's not about what's best or what adds up, it's about marketing, and perception. Sometimes it's just dumb.

.... Tim

gunmaker

If the politicos would only drop the corporate taxes, we'd see these companies moving back home.

JD 2520 w/46bh, 200cx loader, meyers 6ft plow
jd 425 w/54"mmm& 54"plow

PaulChristenson

They don't pay taxes as it is...It should be corporate taxes for companies producing items OUTSIDE the US for consumption inside the US...

Paul in VT

I used to own an ant farm but had to give it up. I couldn't find tractors small enough to fit it.
-- Steven Wright