A Kewanee manufacturing plant has plans to close down and move to another location.
Officials from international manufacturer, BOMAG Americas, say the company will close the Kewanee plant by the end of 2014, according to Quad Cities Online. BOMAG makes compaction equipment like rollers, recyclers, milling machines and more. Kewanee is the location of BOMAG’s U.S. headquarters.
According to a report by WGIL, the Kewanee plant, makes asphalt rollers and similar items, which the company said will either be relocated or replaced with products made at Oklahoma, Germany, or China facilities.
According to the report, the company announced that all operations will be moved to an undetermined location somewhere in the southern United States.
The company said with the move, it will save money and better support customers. BOMAG officials said the company will also build a new distribution, training, corporate, and sales facility elsewhere, according to the report. The construction comes from a lease signed with a facility in Oklahoma.
In 2010 the company announced plans to consolidate its Illinois and Missouri operations to the Kewanee plant, according to a statement by the Illinois Department of Commerce and Economic Opportunity (DCEO). The State of Illinois gave BOMAG a $400,000 investment package which was contingent on the company keeping 100 jobs in the region.
BOMAG employs roughly 1,500 people worldwide, according the statement by DCEO. WGIL reported that as many as 120 work at the company’s Kewanee location.