Plexus to close EMS facility in Massachusetts

By Jim Carbone -- Purchasing, 8/13/2008 7:05:00 AM

Electronics manufacturing services provider Plexus says it will close its 65,000 sq. ft. manufacturing facility in Ayer, Mass. by March 2009.

The company plans to transition products manufactured in the facility to other Plexus facilities, primarily in Neenah, Wis., where the company is based. Plexus builds printed circuit boards and electronic subassemblies for the defense/security/aerospace and telecommunications industries at the Ayer facility.

Dean Foate, president and CEO, says Plexus evaluated the value proposition and long-term viability of each its facilities in the U.S. “After this analysis, we determined that our Ayer facility was not strategically aligned with our future growth prospects,” says Foate.

Ginger Jones, CFO, says the closing will result in 170 people at the facility losing their jobs. “We anticipate that this closure will generate savings in the range of $4-5 million annually,” says Jones.

According to its web site, Plexus also has six other manufacturing sites in the U.S., one in Mexico, two in Scotland, three in Malaysia and one in China.

Also see: Outsourcing: Plexus expands in Malaysia