Colfax Closing Plant in Sanford, North Carolina
04 August 2009 - 9:30PM
PR Newswire (US)
Operations to Be Consolidated into Other Facilities RICHMOND, Va.,
Aug. 4 /PRNewswire-FirstCall/ -- Colfax Corporation (NYSE: CFX), a
global leader in fluid-handling solutions for critical
applications, announced today that it will close its plant in
Sanford, N.C. Production for its Zenith gear pumps will move to the
company's facilities in Monroe, N.C. and Columbia, Ky. This
consolidation is expected to reduce the company's cost structure by
approximately $2.3 million annually ($1.4 million after taxes or 3
cents per share). The Sanford plant, which employs 68 people, is
scheduled to close by the end of the year. John A. Young, President
and CEO of Colfax said: "We regret the impact of the plant closing
on our employees in Sanford, but we must continue to reduce costs
and align capacity with the demands of our global customer base.
This consolidation will better position us as our end markets
recover." Colfax expects to recognize cash expenses related to the
closure of approximately $2.3 million ($1.4 million after taxes or
3 cents per share), including severance and other employee
termination-related costs of approximately $1.1 million and
employee and equipment relocation costs of approximately $1.2
million. The company anticipates recognizing these charges in 2009.
ABOUT COLFAX CORPORATION - Colfax Corporation is a global leader in
critical fluid-handling products and technologies. Through its
global operating subsidiaries, Colfax manufactures positive
displacement industrial pumps and valves used in oil & gas,
power generation, commercial marine, global naval and general
industrial markets. Colfax's operating subsidiaries supply products
under the well-known brands Allweiler, Fairmount Automation,
Houttuin, Imo, LSC, Portland Valve, Tushaco, Warren and Zenith.
Colfax is traded on the NYSE under the ticker "CFX." Additional
information about Colfax is available at
http://www.colfaxcorp.com/. CAUTIONARY NOTE CONCERNING FORWARD
LOOKING STATEMENTS: This press release may contain forward-looking
statements, including forward-looking statements within the meaning
of the U.S. Private Securities Litigation Reform Act of 1995. Such
forward-looking statements include, but are not limited to,
statements concerning Colfax's plans, objectives, expectations and
intentions and other statements that are not historical or current
facts. Forward-looking statements are based on Colfax's current
expectations and involve risks and uncertainties that could cause
actual results to differ materially from those expressed or implied
in such forward-looking statements. Factors that could cause
Colfax's results to differ materially from current expectations
include, but are not limited to factors detailed in Colfax's
reports filed with the U.S. Securities and Exchange Commission as
well as its Annual Report on Form 10-K under the caption "Risk
Factors." In addition, these statements are based on a number of
assumptions that are subject to change. This press release speaks
only as of this date. Colfax disclaims any duty to update the
information herein. The term "Colfax" in reference to the
activities described in this press release may mean one or more of
Colfax's global operating subsidiaries and/or their internal
business divisions and does not necessarily indicate activities
engaged in by Colfax Corporation. DATASOURCE: Colfax Corporation
CONTACT: Mitzi Reynolds of Colfax Corporation, +1-804-327-5689, Web
Site: http://www.colfaxcorp.com/
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