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Auto plant to close for
week
By Will Shoemaker
Staff
Writer
After launching production of its new hybrid sport
utility vehicle, Isuzu Axiom, Subaru-Isuzu Automotive Inc. will be closing
production of its five sport utility vehicle models for a week in February.
The Axiom, which will be seen in dealerships around
the country by spring of this year, began production at the Subaru-Isuzu
plant on Jan. 15. Scheduled production of the Axiom, as well as the
Isuzu Rodeo, Isuzu Rodeo Sport, and Honda Passport at the plant located
at 5500 State Road 38 East, in Lafayette, is cancelled from Feb. 5 to
Feb. 9. The company states the recent slow in the economy and increase
in competition to be reasons for the cancellation of production for
the five Isuzu sport utility vehicles.
"Reduced sales in the last quarter of 2000 is our
primary reason for canceling [production]," said Ann McConnell, manager
of community and media relations at Subaru-Isuzu. Due to excessive inventory
levels, 2000 units are cancelled for production.
The production cancellation will not affect the
car (Subaru) or common areas of production at the plant.
Approximately 750 local jobs, consisting of two
shifts per day from Feb. 5 to Feb. 9, will be affected by the company's
move to adjust inventory. However, Subaru-Isuzu is compensating those
employees affected by the cancellation for the work time that will be
missed.
"Full time production associates will receive four
hours of pay for each shift and can use their regular paid time-off,"
said McConnell.
In spite of the company's cancellation of production,
Subaru-Isuzu officials assure that it is nothing out of the ordinary
for this time of year.
"It is simply an inventory adjustment," said Isuzu
America's Executive Vice President Terry Maloney, "we're launching the
Axiom and we're trying to balance the dealers inventory, which is something
a lot of manufacturers are doing this time of year to adjust to the
economy."
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Cameras
help control traffic
Auto
plant to close for week
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ext. 250
City editor:
Heather Mangold
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