Stanley Black & Decker Provides Update on Changes to Its Manufacturing and Logistics Network to Support Business Transformation

On March 20, 2023, Stanley Black & Decker announced changes in its manufacturing and distribution network as part of its 2022 business transformation strategy.

Rhea-AI Summary

On March 20, 2023, Stanley Black & Decker announced changes in its manufacturing and distribution network as part of its 2022 business transformation strategy. These changes include expanding U.S. sites, transforming some into manufacturing centers of excellence, and consolidating operations. Specifically, the company will transfer operations from Cheraw, South Carolina to Jackson and Gallatin, Tennessee, closing its Fort Worth, Texas facility. Affected employees total 357, while 80 new jobs will be created in Tennessee. The restructuring aims to achieve $2 billion in cost savings, strengthen its core business, and ensure future growth.

Positive

• Transitioning operations aims to achieve $2 billion in cost savings.
• Creation of 80 jobs in Tennessee enhances workforce stability.

Negative

• Closure of Fort Worth facility results in job losses for 175 employees.
• Transfer of operations leads to 182 employees impacted in South Carolina.

Argus Session date unavailable

+1.22% session move Open Argus

Details

News Market Reaction – SWK

The recorded move for SWK in the trading session of this news was +1.22%.

Data tracked by StockTitan Argus. Session date unavailable.

AI-generated analysis. How Rhea-AI works. Not financial advice.

See more from StockTitan in Google Search and AI answers. Adds StockTitan as a preferred source · opens Google

Add on Google Not now

NEW BRITAIN, Conn., March 20, 2023 /PRNewswire/ -- As part of Stanley Black & Decker's business transformation strategy launched in 2022, and in an effort to optimize its footprint and better serve customers, the Company is announcing changes to its manufacturing and distribution network which will include U.S. site expansions, site transformations into manufacturing centers of excellence, and site consolidation.

As part of this effort, the Company is announcing it will transfer its Cheraw, South Carolina operations to its facilities in Jackson and Gallatin, Tennessee, and will discontinue operations in Fort Worth, Texas. These actions will impact 175 employees at the Texas facility and 182 employees in South Carolina, while adding 80 jobs in Tennessee.

The Company is focused on providing a smooth transition to impacted employees including options for employment at other Stanley Black & Decker facilities, as well as job placement support services.

These actions are aligned to the transformation strategy designed to deliver $2 billion of cost savings and are reflective of current economic conditions which highlighted needed changes in Stanley Black & Decker's production and distribution network. Strategic actions supporting the transformation will also enable a more focused product portfolio and strategic sourcing while delivering operational and service excellence.

These efforts will support and strengthen Stanley Black & Decker's core business, drive financial performance, and enable investments to ensure sustainable future growth.

Stanley Black & Decker is a major U.S. manufacturer, headquartered in Connecticut since 1843, and today has more than 40 manufacturing facilities and nearly 19,000 employees in the U.S. Over the past five years, the Company has grown its U.S. employee population by more than 5,000 across its Tools & Outdoor business, invested over half its capital expenditures in the U.S. totaling $1 billion, and has plans for continued future growth and investment enabled by its business transformation.

About Stanley Black & Decker  
Headquartered in the USA, Stanley Black & Decker is a worldwide leader in tools and outdoor operating manufacturing facilities worldwide. Guided by its purpose – for those who make the world – the company's more than 50,000 diverse and high-performing employees produce innovative, award-winning power tools, hand tools, storage, digital tool solutions, lifestyle products, outdoor products, engineered fasteners and other industrial equipment to support the world's makers, creators, tradespeople and builders. The company's iconic brands include DEWALT®, BLACK+DECKER®, CRAFTSMAN®, STANLEY®, CUB CADET®, HUSTLER® and TROY-BILT®. Recognized for its leadership in environmental, social and governance (ESG), Stanley Black & Decker strives to be a force for good in support of its communities, employees, customers and other stakeholders. To learn more visit: www.stanleyblackanddecker.com

View original content to download multimedia:https://www.prnewswire.com/news-releases/stanley-black--decker-provides-update-on-changes-to-its-manufacturing-and-logistics-network-to-support-business-transformation-301776203.html

SOURCE Stanley Black & Decker

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What manufacturing changes did Stanley Black & Decker announce on March 20, 2023?

Stanley Black & Decker announced changes to its manufacturing network, including site expansions, transformations, and consolidations.

How many jobs will be affected by Stanley Black & Decker's restructuring?

A total of 357 jobs will be affected, with 175 layoffs in Texas and 182 in South Carolina, while 80 new positions will be created in Tennessee.

What is the expected cost savings from Stanley Black & Decker's operational changes?

The operational changes are expected to achieve $2 billion in cost savings.

Which locations are involved in the manufacturing changes of Stanley Black & Decker?

The changes involve facilities in Cheraw, South Carolina; Jackson and Gallatin, Tennessee; and Fort Worth, Texas.