Tandus Group, Inc. (Tandus), a Dalton, Georgia-based commercial floorcovering manufacturer, announced today that it will add 150 jobs to its Crossley Carpets facility in Truro, Nova Scotia, by the end of the year as a result of the closure of its Santa Ana, Calif., plant, which has historically produced commercial broadloom carpets for its Monterey Carpets brand.
“In order to remain competitive in the demanding commercial marketplace we must become even more efficient and responsive. To achieve this, we have made the strategic decision to consolidate our broadloom production facilities. Our existing plant in Truro is the ideal facility within Tandus that can absorb the equipment and production requirements of our Monterey brand without plant expansion,” said Mac Bridger, CEO Tandus.
Bridger continued, “As part of the Company’s overall efforts to increase manufacturing efficiency and reduce overhead, this decision was made only after a thorough study of current and future manufacturing and distribution needs for its broadloom brands.”
Gordon Laing, CEO and President of Truro-based Crossley, will oversee the transition of equipment and operations to Nova Scotia. Ralph Grogan will continue to lead the Monterey brand as its President and will remain in Santa Ana during the transition, after which he will relocate to Tandus headquarters in Dalton, Georgia.
“The Tandus facility in Truro will house production capabilities for the Crossley and Monterey brands,” said Laing. “A majority of the production equipment from Santa Ana will be moved to Truro, thus consolidating all broadloom carpet production into a single facility.” The existing 400,000-square foot operation includes a fully integrated mill with in-house yarn processing, dyeing and finishing, and extensive tufting and weaving capabilities.
To service the North American market, the Company maintains facilities in Dalton, dedicated to producing structured-back six-foot roll and modular tiles, and its Truro facility will produce tufted and woven broadloom carpets. In the European market, the Company has a facility in the United Kingdom to manufacture structure-backed products and it is currently building a facility in China to produce carpet tile for the Asian market. There are no plans for any additional plant closings.
“Tandus remains totally committed to its customers and making this transition transparent,” said Bridger. “We view this change as part of an ongoing plan to increase our commitment to responsiveness, flexibility, and competitiveness in a demanding market place.”
Bridger continued, “We acquired Crossley in 1999, and since that time the Company has been an important part of our global strategy. Crossley, known for its craftsmanship, has a 40-year history of providing high quality products to the North American market. In addition to a scalable plant and a capable workforce, other contributing factors to this important decision included the cooperation and support of the CAW Local 4612 and the federal, provincial and municipal governments.”
As part of the expansion, Nova Scotia Business Inc. has agreed to a payroll rebate with Crossley Carpet Mills Ltd. linked directly to the planned addition of 150 people. Under the six-year agreement, Crossley would be eligible to receive a maximum of $2.8 million, conditional on the company achieving its employment targets.
“Crossley is a important employer in Colchester County and a key component of Nova Scotia’s manufacturing sector,” said Stephen Lund, President and CEO of Nova Scotia Business Inc. “With its export production, Crossley is a significant contributor to our economy, and its made-in-Nova Scotia product has garnered an international reputation for quality. NSBI is proud to support Crossley’s growth.”
The Office of Economic Development has also agreed to amend an existing loan with Crossley to support the $10.5-million expansion. It will convert the existing repayable loan (with a balance of $1.53 million) to a forgivable loan – based on Crossley proceeding with its Truro expansion, creating new jobs, and maintaining its existing employment in Nova Scotia.
“More Nova Scotians are working today than at any time in our history, and it shows that our economic strategy, Opportunities for Prosperity, is working,” said Economic Development Minister Ernie Fage. “Investments like this one with Crossley will ensure we continue to set new records and allow for more Nova Scotians to go to work, earn a paycheque and provide for them and their families.”
Tandus brings together the industry’s leading specialized commercial flooring brands – C&A Floorcoverings, Crossley Carpet Mills and Monterey Carpets. Drawing upon the individual strengths of each brand, Tandus offers its customers single-source innovative product design and technology, comprehensive services, and environmental leadership. Based in Dalton, Ga., Tandus is a leading global commercial floorcoverings company. More information can be found online at www.tandus.com .