23 August 2011
23 August 2011
Core Molding Technologies (CMT), has established a new operating subsidiary and manufacturing location, Core Specialty Composites (CSC) in Warsaw, Kentucky.
CMC say the new subsidiary will operate out of the new manufacturing site, which includes 62,000 sq ft of leased manufacturing space. They say that operations will include production of large-format parts using a customised fibreglass hand lamination process. Development and staffing activities are underway and their people will be on-site in September and active production is planned to begin early in 2012. The Warsaw operation is expected to employ approximately 40 people and they expect revenue for the new business to be $5 to $8 million annually.
“We are excited about this expansion outside our traditional markets,” said Kevin Barnett, President and Chief Executive Officer of CMT. “For some time, we have been focused on growing our business with industries beyond our traditional heavy truck accounts, and this is the latest of several successes in that regard.”
CMT's Director of Market Development, Mark Murfitt, led the effort to launch the new business. “Our work has included a great deal of product development. Additionally, we'll be utilising some new process technology for Core,” Murfitt said. “We're now actively building tooling and acquiring the necessary manufacturing permits and equipment.” CMT will lease the building in Warsaw, but explain that they will make a capital investment of approximately $1.7 million for equipment and technology to support the operation.
CMT's Batavia, Ohio Plant Manager, Bob Brennan emphasised the positive impact on employment for the Warsaw area. “We liked the quality of the labour market in Gallatin and surrounding counties,” Mr. Brennan noted. “We worked closely with state and local representatives in our targeted regions, and the combination of benefits offered by the people and officials of Kentucky and Gallatin County convinced us that Warsaw was the best location for our new operation”.