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Michelin announces production adjustments

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Michelin North America Inc. is making production adjustments to reduce inventories at several of its plants in the United States and Canada "in response to the unprecedented deterioration in market conditions," according to Michelin officials. 

Michelin will reduce its production schedule in the following manufacturing facilities, most of which supply original equipment auto manufacturers:

* Greenville, S.C., passenger and light truck tire plant. Beginning March 1 and continuing for four weeks, 870 wage employees will have their schedules reduced by 10 hours per week. Forty five production contractors will be released this month.

* Lexington, S.C., passenger and light truck tire plant. This factory will reduce its production over the next eight weeks. Forty three contractors also will be released.

* Ardmore, Okla., passenger and light truck tire plant. Starting Feb. 13 and continuing for eight weeks, some 1,455 wage employees' schedules will be reduced by 12 hours every two weeks.

* Spartanburg, S.C., truck tire plant. Starting the week of Feb. 8 and continuing for eight weeks, 835 wage employees will have their schedules reduced to an average of 35 hours a week. Thirty two production contractors and 15 mechanical contractors were let go last November and December.

* Waterville, Nova Scotia, medium truck, small OTR and earthmover tire plant. Temporary lay-off of flex employees announced yesterday, Feb. 3, effective April 1, 2009. Since Jan. 29, 2008, flex workers shifts have been reduced by one 12-hour shift every four weeks, while overtime for full-time employees has been eliminated.

"Michelin remains a healthy company on sound financial footing," say Michelin officials.

"These recent actions to reduce our costs are helping us weather this crisis. We are continuing to monitor the economic and market situation, which is unpredictable. Further actions may be necessary."

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