NEW YORK Caterpillar Inc. will close its assembly plant in Kilgore, Texas, in response to a slowdown in demand from the mining sector, the company said Oct. 30.
"The company has taken many actions to align our costs with the environment were in currently ... were not finished and expect to take deeper action to improve our cost structure and balance sheet," a Caterpillar spokeswoman said.
The closure will eliminate 100 jobs. Peoria, Ill.-based Caterpillar will offer eligible full-time employees a severance package and transitional support.
Caterpillar will shift Kilgores dipper production to its plant in Wamego, Kan., and move ballast box production to its South Milwaukee, Wis., facility by year-end, the spokeswoman said. The company cut 115 jobs at South Milwaukee in early October as part of its cost-cutting strategy (amm.com, Oct. 3).