Released on June 26, 2008

Citation Corp., Novi, Mich., announced it will reduce capacity at its Lufkin, Texas, metalcasting facility, a move that will affect 128 hourly and salaried workers.

According to a press release issued by Citation, some of the products previously produced in Lufkin will be transferred to the company’s Brewton, Ala., metalcasting plant by the end of September. The company indicated the reduction will reflect lower market demands.
 
“Balancing our [metalcasting] capacities allows us to eliminate process redundancies and optimize our manufacturing footprint,” said Cary Wood, Citation chief operating officer. “This decision supports capital investments we’ve made at our Brewton plant.”
 
Citation anticipates gradually transitioning business from Lufkin and reducing the plant’s workforce of 466 starting in August.
 
“Lufkin remains one of Citation’s flagship facilities,” Wood said. “The facility will continue to focus on…its remaining customer base, including the growing Mexico segment.”

Citation employs 2,700 associates at facilities in Alabama, Texas, Indiana, Michigan, North Carolina and Wisconsin. It serves the automotive, heavy truck and industrial markets. According to Wood, Citation will in the future seek new business to fill the capacity that has been opened in Lufkin.