Kadant Integrates Manufacturing Operations of Kadant AES and Kadant Web Systems, Renovation Plans Move Ahead at Auburn Facility
WESTFORD, Mass., March 25, 2009–Kadant Inc. (NYSE:KAI) has begun the transition of the U.S. manufacturing operations of its Kadant AES product line to the company’s existing Kadant Web Systems Inc. manufacturing site in Auburn, Massachusetts. The transition to the Auburn plant is expected to achieve economies of scale and greater efficiencies by integrating the company’s U.S. water management and accessory product lines into a single manufacturing location. The business integration plan includes maintaining Kadant AES customer service, engineering, product development, and technical services in Queensbury, New York.
According to Eric Langevin, senior vice president of Kadant, “These efforts are intended to boost our company’s manufacturing efficiencies while improving our ability to compete in today’s environment. They also demonstrate our continuing commitment to growing these important product lines. We are pleased with the progress made to date, and look forward to completing the integration before the end of 2009.”
As part of the relocation of the Kadant AES Division manufacturing operations to Auburn, renovation of the Auburn manufacturing site is underway. The modernization efforts include reconfiguration of the work flow as well as adding machinery for various turning and machining operations specific to the Kadant AES product line. The combined organization will be led by José Garcia, president of Kadant Web Systems, and managed by a team from both the Kadant AES and Kadant Web Systems businesses.
Kadant Web Systems Inc., based in Auburn, Massachusetts, is a leading provider of doctors, blade holders, doctor blades, and paper machine accessories to the pulp, paper, and related industries. Kadant AES Division, based in Queensbury, New York, is a provider of products and technologies primarily applied to the forming of paper in the wet end of the paper machine, the cleaning of forming fabrics and press fabrics, and filtration of process water throughout the papermaking process.
Kadant Inc. is a leading supplier to the global pulp and paper industry, with a range of products and services for improving efficiency and quality in pulp and paper production, including paper machine accessories and systems for stock preparation, fluid handling, and water management. Our fluid-handling products are also used to optimize production in the steel, rubber, plastics, food, and textile industries. In addition, we produce granules from papermaking byproducts for agricultural and lawn and garden applications. Kadant is based in Westford, Massachusetts, with revenues of $329 million in 2008 and 1,800 employees in 16 countries worldwide. For more information, visit www.kadant.com.
The following constitutes a "Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995: This press release contains forward-looking statements that involve a number of risks and uncertainties, including forward looking statements about our expected future financial and operating performance, and benefits and efficiencies of integration and relocation of our Kadant AES manufacturing operations. Important factors that could cause actual results to differ materially from those indicated by such statements are set forth under the heading "Risk Factors" in Kadant's annual report on Form 10-K for the period ended January 3, 2009. These include risks and uncertainties relating to our dependence on the pulp and paper industry; significance of sales and operation of manufacturing facilities in China; international sales and operations; competition; adverse changes to the soundness of our suppliers and customers; our debt obligations; restrictions in our credit agreement; adverse changes to the soundness of financial institutions and credit parties; litigation and warranty costs related to our discontinued operation; our acquisition strategy; future restructurings; factors influencing our fiber-based products business; protection of patents and proprietary rights; fluctuations in our share price; and antitakeover provisions. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise.