ABB plans to restructure transformer business

Norwalk, CT—ABB reports that it's planning to restructure its North American transformer business unit. The company adds these efforts are part of its global effort to realign its transformer business to increase profitability and customer service.

07/05/2005


Norwalk, CT— ABB reports that it's planning to restructure its North American transformer business unit. The company adds these efforts are part of its global effort to realign its transformer business to increase profitability and customer service.

Several North American operations will be affected by the changes. The Guelph, Ontario, Canada-based facility will be closed. The St. Louis, MO, facility will expand to serve a large portion of the repair business from Guelph. The Jefferson City, MO, operation will expand to serve a portion of the lower range of the liquid substation product line currently manufactured in the South Boston, VA, facility.

'The decision to close the Guelph operation comes as the conclusion to many years of effort to return the operation to profitability. Over the past 12 months, in particular, the Canadian Auto Workers (CAW), the management team, and our customers have all worked to turn Guelph around. Unfortunately, the business outlook is that Guelph will only continue to lose money,' says Gerry Schepers,

The Guelph facility is expected to lose 15 million CAD in 2005. The business was temporarily closed in mid-2004, and then re-opened based on agreement to pursue all possible options for creating a viable situation. CAW represents approximately 200 of the transformer plant's more than 300 employees. The union's contract expires on January 31, 2006. The Guelph plant, which serves the North American market, produces small power transformers and repairs large power transformers.

'The restructuring plan in North America emphasizes the strategy to improve performance throughout ABB transformer operations. These actions, including the expansions in St. Louis and Jefferson City are clear examples of this emphasis,' adds Schepers.

Control Engineering Daily News Desk
Jim Montague, news editor
jmontague@reedbusiness.com





No comments
The Engineers' Choice Awards highlight some of the best new control, instrumentation and automation products as chosen by...
The System Integrator Giants program lists the top 100 system integrators among companies listed in CFE Media's Global System Integrator Database.
The Engineering Leaders Under 40 program identifies and gives recognition to young engineers who...
This eGuide illustrates solutions, applications and benefits of machine vision systems.
Learn how to increase device reliability in harsh environments and decrease unplanned system downtime.
This eGuide contains a series of articles and videos that considers theoretical and practical; immediate needs and a look into the future.
Sensor-to-cloud interoperability; PID and digital control efficiency; Alarm management system design; Automotive industry advances
Make Big Data and Industrial Internet of Things work for you, 2017 Engineers' Choice Finalists, Avoid control design pitfalls, Managing IIoT processes
Engineering Leaders Under 40; System integration improving packaging operation; Process sensing; PID velocity; Cybersecurity and functional safety
This article collection contains several articles on the Industrial Internet of Things (IIoT) and how it is transforming manufacturing.

Find and connect with the most suitable service provider for your unique application. Start searching the Global System Integrator Database Now!

SCADA at the junction, Managing risk through maintenance, Moving at the speed of data
Flexible offshore fire protection; Big Data's impact on operations; Bridging the skills gap; Identifying security risks
The digital oilfield: Utilizing Big Data can yield big savings; Virtualization a real solution; Tracking SIS performance
click me