But this economy is great and taking off!
"Disston to close Deerfield plant; To move 50 remaining jobs to new Chicopee location" by KATHLEEN McKIERNAN, Recorder Staff, May 1, 2013
DEERFIELD — After 15 years of operating from West Industrial Drive, Disston Co. will move to Chicopee in June and close its Deerfield facility.
The saw blade and tool maker is downsizing its facility size to meet its needs as it ships many manufacturing functions to China.
“We’re transitioning our manufacturing from South Deerfield to Stephen Chen’s facility in China. It’s happened over the past five years,” said Mark Marzeotti, vice president of Sales and Marketing.
Chen is the CEO and president of the 165-year-old company.
Disston will be manufacturing products in China to compete with Black & Decker/Dewalt, Skil Bosch, Stanley, Irwin and many other national brands....
“We changed our manufacturing site in Chicopee and China to ultimately lower our costs,” Marzeotti said. “Our costs will be lower and it will increase the opportunity to increase revenue.”
Marzeotti confirmed that some equipment has moved to China and some to Chicopee in April.
The move comes after the manufacturer laid off 15 employees in March. Currently, the company has 50 employees, all of whom will be moving to the new facility.
“It’s something that has been shared with every employee,” Marzeotti said....
So far, Marzeotti said the plan to increase revenue is already working.
In the past year and a half, Disston increased sales to True Value from 100 products to 700, doubled business with Sears and are currently in the process of shipping 22 new items to Kmart to be displayed in all Kmart stores under the Craftsman brand.
Disston is one of the last manufacturing companies to move operations abroad, Marzeotti said.
“Essentially, most U.S. manufacturing has changed,” he said. “We wanted to continue to make a product in the USA for as long as we could. Unfortunately, users make a choice based on price. We’re able to make a better product for a lower or similar price in China.”
Marzeotti said the decision was made as a result of low wages in China compared to the United States.
Yeah, they are still in business and still making money, growing in fact.
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