Lakeland Fire + Safety Completes Sale of Decatur, Alabama Warehouse Facility in Connection with Capital Reallocation Initiatives
Lakeland Industries (NASDAQ: LAKE) has completed the sale of its Decatur, Alabama warehouse facility for $6.1 million as part of its operational streamlining initiatives. The transaction includes a short-term leaseback of one warehouse while the company searches for a new strategic location.
The sale aligns with Lakeland's broader consolidation strategy, which includes previously announced closures of facilities in Hull, England and Quitman, Arkansas. These initiatives are expected to generate $1 million in annual savings for the remainder of fiscal 2026. The company has identified additional initiatives projected to yield $3 million in annualized savings in the second half of fiscal 2026.
Lakeland Industries (NASDAQ: LAKE) ha completato la vendita del suo magazzino di Decatur, Alabama, per $6,1 milioni come parte delle iniziative di razionalizzazione operativa. L'accordo prevede un leaseback a breve termine di uno dei magazzini mentre la società valuta una nuova ubicazione strategica.
La cessione rientra nella strategia di consolidamento più ampia di Lakeland, che comprende le precedenti chiusure degli stabilimenti di Hull, Inghilterra e Quitman, Arkansas. Queste misure dovrebbero consentire $1 milione di risparmi annuali per il resto dell'esercizio 2026. L'azienda ha inoltre individuato ulteriori iniziative che dovrebbero generare $3 milioni di risparmi annualizzati nella seconda metà dell'esercizio 2026.
Lakeland Industries (NASDAQ: LAKE) ha completado la venta de su instalación de almacenamiento en Decatur, Alabama, por $6.1 millones como parte de sus iniciativas de optimización operativa. La transacción incluye un contrato de arrendamiento a corto plazo para uno de los almacenes mientras la compañía busca una nueva ubicación estratégica.
La venta se alinea con la estrategia de consolidación más amplia de Lakeland, que incluye los cierres previamente anunciados en Hull, Inglaterra y Quitman, Arkansas. Se espera que estas medidas generen $1 millón en ahorros anuales durante el resto del ejercicio fiscal 2026. La empresa ha identificado además iniciativas adicionales que proyectan $3 millones en ahorros anualizados en la segunda mitad del ejercicio 2026.
Lakeland Industries (NASDAQ: LAKE)는 운영 효율화의 일환으로 앨라배마주 디케이터에 있는 창고 시설을 610만 달러에 매각을 완료했습니다. 거래에는 회사가 새로운 전략적 입지를 물색하는 동안 한 창고에 대해 단기 리스백이 포함되어 있습니다.
이번 매각은 잉글랜드 헐과 아칸소주 퀴트먼의 시설 폐쇄 발표를 포함한 라키랜드의 광범위한 통합 전략과 일치합니다. 이러한 조치는 2026 회계연도 잔여 기간 동안 연간 100만 달러의 비용 절감을 가져올 것으로 예상되며, 회사는 2026 회계연도 하반기에 연간 300만 달러의 추가 절감을 예상하는 추가 이니셔티브도 확인했습니다.
Lakeland Industries (NASDAQ: LAKE) a finalisé la vente de son entrepôt de Decatur, Alabama, pour 6,1 millions de dollars dans le cadre de ses initiatives de rationalisation opérationnelle. La transaction comprend une rétro-location à court terme d’un des entrepôts pendant que la société recherche un nouvel emplacement stratégique.
Cette cession s’inscrit dans la stratégie de consolidation plus large de Lakeland, qui inclut les fermetures précédemment annoncées des sites de Hull, en Angleterre, et de Quitman, en Arkansas. Ces mesures devraient permettre d’obtenir 1 million de dollars d’économies annuelles pour le reste de l’exercice 2026. La société a par ailleurs identifié des initiatives supplémentaires susceptibles de générer 3 millions de dollars d’économies annualisées au second semestre de l’exercice 2026.
Lakeland Industries (NASDAQ: LAKE) hat den Verkauf seiner Lagerhalle in Decatur, Alabama, im Rahmen von Maßnahmen zur Betriebsstraffung für 6,1 Millionen US-Dollar abgeschlossen. Die Transaktion umfasst ein kurzfristiges Rückmietgeschäft für ein Lager, während das Unternehmen nach einem neuen strategischen Standort sucht.
Der Verkauf steht im Einklang mit Lakelands umfassender Konsolidierungsstrategie, zu der bereits angekündigte Schließungen in Hull, England, und Quitman, Arkansas, gehören. Diese Maßnahmen sollen für den verbleibenden Teil des Geschäftsjahres 2026 1 Million US-Dollar jährliche Einsparungen bringen. Das Unternehmen hat weitere Maßnahmen identifiziert, die voraussichtlich 3 Millionen US-Dollar annualisierte Einsparungen in der zweiten Hälfte des Geschäftsjahres 2026 erzielen werden.
- Sale of Decatur facility generates $6.1 million cash infusion for balance sheet
- Expected annual savings of $1 million from facility closures and consolidation
- Additional $3 million in annualized savings identified for second half of fiscal 2026
- Strategic relocation and consolidation aimed at improving operational efficiency and margins
- Short-term leaseback costs for one warehouse until new location is secured
- Temporary operational disruption during facility transition and relocation
Insights
Lakeland's $6.1M facility sale strengthens finances while operational consolidation efforts target $4M in annual savings by late 2026.
Lakeland's
The financial impact appears meaningful, with management projecting approximately
The short-term leaseback arrangement for one of the three Decatur warehouses provides operational continuity while the company searches for a more strategically located replacement facility. This approach minimizes disruption while allowing Lakeland to optimize its logistics network over time.
What's particularly notable is management's dual focus on cost reduction and revenue growth. The restructuring isn't purely defensive - it's designed to create a more agile operation capable of supporting higher margins while also growing top-line revenue. The streamlined global footprint should reduce fixed costs and improve operating leverage, potentially amplifying the profit impact of any revenue growth the company achieves.
HUNTSVILLE, Ala., Aug. 27, 2025 (GLOBE NEWSWIRE) -- Lakeland Industries, Inc. (“Lakeland Fire + Safety” or “Lakeland”) (NASDAQ: LAKE), a leading global manufacturer of protective clothing and apparel for industry, healthcare and first responders, today announced that it has completed the sale of its Decatur, Alabama warehouse property to an unrelated party.
The sale is part of the company’s previously disclosed financial and operational initiatives to streamline global operations and improve profitability. Lakeland has commenced a search for a new upgraded warehouse, logistics and lab facility in a more strategic location to replace the Decatur facility.
The sale price was
“The sale of the Decatur, Alabama facility is part of our broader operational consolidation strategy aimed at enhancing efficiency and reducing costs, and this non-core asset disposition provides a meaningful cash infusion for our balance sheet,” said Jim Jenkins, CEO and Executive Chairman of Lakeland Industries. “Combined with our previously announced closures, including the planned closures of our warehouse facility in Hull, England and Veridian manufacturing facility in Quitman, Arkansas, these initiatives are expected to streamline global operations, improve profitability, and generate annual savings of approximately
“Looking ahead, we are highly focused on growing top-line revenue as we continue to implement operating and manufacturing efficiencies including consolidation of warehousing, logistics, and manufacturing operations globally. We believe these efforts will enable higher margins and build a more agile and cost-effective Lakeland in the longer term,” concluded Jenkins.
About Lakeland Fire + Safety
Lakeland Fire + Safety manufactures and sells a comprehensive line of fire services and industrial protective clothing and accessories for the industrial and first responder markets. Our products are sold globally by our in-house sales teams, our customer service group, and authorized independent sales representatives to a strategic global network of selective fire and industrial distributors and wholesale partners. Our authorized distributors supply end users across various industries, such as integrated oil, chemical/petrochemical, automobile, transportation, steel, glass, construction, smelting, cleanroom, janitorial, pharmaceutical, and high-tech electronics manufacturers, as well as scientific, medical laboratories and the utilities industry. In addition, we supply federal, state and local governmental agencies and departments, including fire and law enforcement, airport crash rescue units, the Department of Defense, the Department of Homeland Security and the Centers for Disease Control. Internationally, we sell to a mix of end-users directly and to industrial distributors, depending on the particular country and market. In addition to the United States, sales are made into more than 50 foreign countries, the majority of which were into China, the European Economic Community ("EEC"), Canada, Chile, Argentina, Russia, Kazakhstan, Colombia, Mexico, Ecuador, India, Uruguay, Middle East, Southeast Asia, Australia, Hong Kong and New Zealand.
For more information about Lakeland, please visit the Company online at www.lakeland.com.
"Safe Harbor" Statement Under the Private Securities Litigation Reform Act of 1995
This press release contains "forward-looking statements" as that phrase is defined in the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, which address Lakeland's expectations of sources or uses for capital, or which express the Company's expectation for the future with respect to financial performance or operating strategies, including statements regarding our operational efficiency plans, can be identified as forward-looking statements. Forward-looking statements involve risks, uncertainties and assumptions as described from time to time in Press Releases and Forms 8-K, registration statements, quarterly and annual reports and other reports and filings filed with the Securities and Exchange Commission or made by management. As a result, there can be no assurance that Lakeland's future results will not be materially different from those described herein as "believed," "projected," "planned," "intended," "anticipated," "can," "estimated" or "expected," or other words which reflect the current view of the Company with respect to future events. We caution readers that these forward-looking statements speak only as of the date hereof. The Company hereby expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statements to reflect any change in the Company's expectations or any change in events, conditions or circumstances on which such statement is based, except as may be required by law.
Contacts
Lakeland Fire + Safety
256-600-1390
Roger Shannon
Chief Financial Officer
rdshannon@lakeland.com
Investor Relations
Chris Tyson
Executive Vice President
MZ Group - MZ North America
949-491-8235
LAKE@mzgroup.us
www.mzgroup.us
FAQ
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