LIONEL CONSIDERS CLOSING CHESTERFIELD, MICHIGAN PLANT

PRSLou Jan 18, 2001

  1. PRSLou

    PRSLou E-Mail Bounces

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    This info my interest some of you that are into O scale:

    <big>Lionel to Consider Terminating Chesterfield, Michigan Manufacturing Operations</big>

    CHESTERFIELD, MI -- January 17, 2001 --
    Lionel, L.L.C. announced today that it was considering terminating its Chesterfield, Michigan manufacturing operation.

    Richard N. Maddox, President and Chief Operating Officer of Lionel, L.L.C., said that the Company is considering, among other options, terminating its Chesterfield, Michigan manufacturing operation. The Company has entered into discussions with UAW Local 417 seeking mutually agreeable options, which would help reduce overhead and permit continued manufacturing in its Chesterfield facility. Lionel currently manufactures in Michigan, Korea and China.

    Maddox emphasized in employee meetings that no decision has yet been made and that no decision would be made until employee and Union suggestions were considered. In addition, Maddox stressed that regardless of the decision all scheduled shipments will continue throughout 2001 and beyond.
    <hr>

    This is the entire text of a press release issued by Lionel L.L.C. on January 17, 2001.

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    Lou
    PRSLou's website
    Are you a teen interested in trains? Join the T.A.M.R.

    [This message has been edited by PRSLou (edited 18 January 2001).]
     
  2. JCater

    JCater TrainBoard Member

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    Seems to me that Neil Young has enough money to pour a little into the Michigan plant as a means of streamlining the operation, rather than shutting down. Upgrading equipment etc. would probably help. Of course a reduction in work force is probably inevitable, but closing the last of the American plants is hard to understand!! Happy Modeling!!
    John

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    The Santa Fe and Southwestern, Chief of the Southwest!!
     
  3. watash

    watash Passed away March 7, 2010 TrainBoard Supporter In Memoriam

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    Would this put Lionel out of business? Lionel was famous for promoting Father-son togetherness that kept most of us off the streets, and out of prisons! It is a shame it is not strong enough to survive today. Just the name means trains to most of us. We owe a lot to old Joshua!

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    Watash #982
    "See you in the Pit" [​IMG]
     
  4. Chessie_SD50_8563

    Chessie_SD50_8563 Permanently dispatched

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    No there moving production to Korea and China

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    NARA member #20
     
  5. watash

    watash Passed away March 7, 2010 TrainBoard Supporter In Memoriam

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    I'll bet old Joshua is spinning in his grave to know his American Icon for boys and their dads is going to be corrupted this way. Well the real Lionels will now go way up in value. I'm going to sure keep the ones I have. It will be interesting to see if the ...........people promote the Father and son togetherness, or just go up in price and tell you they are paying the 7 year old kids that assemble them the same money our men would make over here. Fat ....... chance!

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    Watash #982
    "See you in the Pit" [​IMG]
     
  6. PRSLou

    PRSLou E-Mail Bounces

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    Well, it's official now. Lionel is going to close down there Michigan plant. All manufacturing will be moved to China. You can go to OGaugeRR.com and click on the link in box titled "LATE-BREAKING INDUSTRY NEWS."
     

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