05.10.11
Church & Dwight has decided to relocate a portion of its Green River, WY operations to Victorville, CA in the first half of 2012, pending final local approvals. Specifically, the company will be relocating the cat litter manufacturing operations and the distribution center to this southern California site to be closer to transportation hubs and West Coast customers. The site will also produce liquid laundry detergent products.
The sodium bicarbonate operations and other consumer product manufacturing will remain at the Green River facility.
According to Church & Dwight, the new leased site in Victoriville is expandable to meet future business needs.
"This move is part of our long-term commitment to expand gross margin by reducing complexity in our supply chain network and lowering manufacturing and distribution costs," said James R. Craigie, CEO. "The new facility will provide us with access to major population centers on the West Coast. This new site also will enable us to further expand both our liquid laundry and cat litter businesses and position our business to be among the industry leaders in low-cost production and distribution."
The company expects to invest approximately $30 million in capital expenditures and $8 million in transition expenses in connection with the opening of the Victorville site and the reduction in work force at our Green River facility. Capital expenditures related to the new project in 2011 are expected to be $11 million.