http://apnews.myway.com/article/20080924/D93D78BG3.htmlHanesbrands will close 9 plants, cut 8,100 jobs
Sep 24, 1:05 PM (ET)
By MAE ANDERSON
NEW YORK (AP) - Apparel maker Hanesbrands Inc. (HBI) (HBI) said Wednesday it will close nine plants across five countries and cut about 12 percent of its work force as it restructures its operations in order to cut costs.
The moves will eliminate the jobs of about 8,100 workers in the U.S. and Central America, while the company plans to add 2,000 jobs in Asia. Hanes has about 50,000 employees in 25 countries.
The maker of Hanes and Champion apparel said it is expanding production in Asia and consolidating into fewer and larger plants in lower-cost countries.
"Globalizing our supply chain, and eventually balancing production between Asia and the Western Hemisphere, is a critical plank in our strategic efforts to reduce costs, improve product flow and increase our competitiveness," said Hanesbrands Chief Executive Richard A. Noll in a statement.
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As part of the current restructuring the company plans to close seven plants this year. Those include sewing plants in El Salvador, Honduras and Costa Rica, as well as two yarn plants in Eden, N.C. and Gastonia, N.C., a knit-fabric textile plant in Forest City, N.C., and an inventory storage warehouse in Rockingham, N.C.