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PPG automotive OEM coatings unit to restructure manufacturing, reduce staff

By Kerry Pianoforte

Published September 24, 2008
PPG Industries’ automotive original equipment manufacture (OEM) coatings business today announced that it would restructure its manufacturing presence in North America. The company said it anticipates the closure of its Clarkson, Ont., Canada, coatings manufacturing facility sometime in mid-2009. The plant employs approximately 150 people. PPG will make investments in other existing facilities to continue supporting its North American business and to accommodate increased production volume resulting from the Clarkson closure. The business will also eliminate various positions throughout North America due to the significantly lower demand in the marketplace. “This initiative will help us mirror the fundamental shifts in the automotive industry,” said Dennis Kovalsky, PPG vice president, automotive coatings. “It will also better enable us to continue to be a valued supplier to the automotive OEM industry. We are committed to ensuring that our customers continue to receive quality products and services while we work through this transition. “These decisions are never easy,” Kovalsky said, “especially when it affects employees who have been solid contributors, friends and colleagues. However, after careful review, we believe these steps are necessary to help ensure the long-term viability of our business.”

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