Clorox To Outsource S.O.S Pads

The Clorox Products Manufacturing Company, a subsidiary of The Clorox Company has entered into an agreement to transfer production of S.O.S steel-wool soap pads from its Bedford Park, IL, manufacturing facility to third-party manufacturer Global Material Technologies, Inc. (GMT) of Chicago. Terms of the contract were not disclosed.

Production from the Bedford Park facility’s five production and packaging lines will transition to GMT over several months, after which Clorox will close the facility and then offer it for sale. The company will offer the Bedford Park employees a severance and benefits package, including outplacement services.

“Closing the Bedford Park facility was a difficult decision to make,” said Anthony Biebl, Clorox senior vice president, product supply. “Over the years, the employees in Bedford Park have made a significant contribution to the business. But since this is the only domestic plant where Clorox produces steel-wool soap pads, we don’t get the economies of scale we enjoy with some of our other production operations. By transferring this production to GMT, we can make better use of our assets, and long term, that’s in the best interest of Clorox and our shareholders.”

The Bedford Park facility employs about 95 people. The plant opened in 1954, and Clorox purchased it from Miles Inc. in 1994.

Based in Palatine, IL, the privately-owned Global Material Technologies, Inc. is a diversified manufacturing company with more than 50 years experience manufacturing soap pads in the U.S. and UK.