Pella to 'idle' Tucson production plant

By David Hatfield, Inside Tucson Business
Published on Wednesday, November 05, 2008

Pella Corp. will suspend production at its Tucson plant at the end of November, the company announced today.

The impact of the housing slowdown, coupled with the widespread credit crunch has dramatically decreased demand for building products such as the doors and windows manufactured by Pella.

“This isn’t a matter of shifting jobs to another location or outsourcing. It is a direct result of the dramatic drop in new construction from record levels a few years ago,” said Pella Corporate Vice President Mark Hinkie in a statement. “The volatile housing economy and financial market turmoil has touched everyone from consumers to lenders, real estate agents, builders and manufacturers. Unfortunately, after doing all we could to adjust, we must suspend Tucson production in late November to reduce excess manufacturing capacity.”

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Pella says it remains committed to Tucson and says the local plant, which opened in 2005, will be idled — effectively put on hold — until the economy picks up again and production can be restarted.

 
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