“Since the acquisition of Plastics Color Corporation’s assets and business took place earlier this year, we have been diligently exploring a wide array of opportunities to maximize the value we can bring to our customers with an optimal manufacturing footprint. After careful consideration and recognizing that we have ample capacity available on more advanced manufacturing equipment located at other Chroma Color manufacturing sites, the decision to close the Calumet City location has been made. This decision puts us in the best position to invest in the locations that will best serve our customers,” said Tom Bolger, CEO, Chroma Color Corporation.
Bishop Beall, VP Sales, stated, “In preparation for this transition, Chroma Color has invested more than $1.5 million across our manufacturing sites. These recent investments include new equipment purchases, refurbishment of key equipment and assets, enhancements to our lab capabilities, and a variety of structural upgrades. The equipment upgrades included several twin-screw compounding lines, high intensity mixer, roto-cone blending system, and additional lab equipment. With these investments and the systematic transition plan currently in process, we are confident that this consolidation will allow us to deliver improved products, quality and service to our valued customers.”
Based upon several factors including equipment configurations, process requirements, regulatory requirements, and geographic locations, production is being transferred to Chroma Color’s operations in Asheboro, NC, McHenry, IL, Leominster, MA and Delaware, OH.
Last year, Chroma Color completed an expansion at its Leominster, MA site with an investment of more than $1 million that included significant structural upgrades, new compounding lines, a dust collection system, new state of the art color development laboratory, along with improvements to both warehousing and office environments.
“Since the decision was reached, we have been proactively engaged in the technology transfer of product formulas, manufacturing processes, and regulatory compliance processes. Production qualification is well underway for most products. We anticipate a seamless transition for current customers served out of Calumet City based on knowledge transfer and extensive experience at our other locations as well as some potential, limited job transfers. Detailed transition plans are in place and expected to be completed by the end of July,” continued Tom Bolger.
Earlier today, representatives of Chroma Color Corporation met with employees at the Calumet City facility to inform them of the decision and to share the transition assistance the company will be providing to those impacted. Completion of the Calumet City closure is anticipated to occur by July 31 following the successful transition of all product manufacturing.
