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WestPoint Stevens announces one plant conversion and four plant closings

WestPoint Stevens announced a further realignment of manufacturing capacity in which the Company will close DIXIE and DUNSON plants, LaGrange, Ga., FAIRFAX GREIGE PLANT, Valley, Ala., and COUSHATTA (La.) PLANT. LANIER PLANT, Valley will be converted to towel production. The consolidation within the company’s bath products segment will close two older, multi-level towel units - Fairfax Greige Plant and Dixie Plant - and move some production equipment from those plants into Lanier-Carter facility, putting modern equipment into a one-level facility with an efficient workflow.

Carter Plant, Lanier’s sister facility under the same roof, was converted to towel production in 2002. Production at Dunson Plant, also an older, multi-level facility, will be folded into other Bed Products plants with more modern manufacturing layout.

Capacity created by the addition of Coushatta Plant to the Basic Bedding Division is no longer needed because of increased manufacturing efficiencies achieved at other Basic Bedding plants that are better geographically located for the company’s distribution system.

“Overall, these moves will strengthen the company with greater production efficiency and better-aligned capacity and allow us to compete more effectively in a global economy,” said WestPoint President and CEO M.L. (Chip) Fontenot. “We greatly appreciate the associates at these plants - indeed all our associates - whose skills and perseverance over the years have helped WestPoint Stevens become a home fashions leader, and we deeply regret that continuing changes in the global marketplace make necessary such restructuring in manufacturing.”

Layoffs will begin in mid-March, affecting approximately 200 associates at Dixie, 350 at Dunson, 300 at Fairfax Greige and 125 at Coushatta. Relocation of equipment to Lanier-Carter gets under way also mid-March, with towel production at Lanier scheduled to begin early-to-mid-summer.