LONDON - As a part of a restructuring following the acquisition of ECO Group in 2007, Luvata has announced the planned closure of its Astro Air facilities in Jacksonville, Texas, by Aug. 1, 2008. According to the company, the decision has been made to rationalize assets and maintain consistent value to customers.

The plant produces heat exchangers for heating and air conditioning applications. The closure, along with the restructuring of the other North American manufacturing operations, will improve the company’s cost structure, capital utilization, and competitive position, said the company. Production will be transferred to other Luvata facilities located in Grenada, Miss., and Juarez, Mexico, affecting approximately 400 employees.

The company said it will make every effort to offer employees critical-skill positions created at the Mississippi location as a result of the closure. It will also assist other employees in finding alternative external employment for their job search and offer severance pay based on tenure to full-time employees as well.

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Publication date:03/10/2008