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Levi Strauss announces intention to close six plants

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Posted 2:01PM on Monday 8th April 2002 ( 23 years ago )
BLUE RIDGE - About 400 Levi Strauss employees in Blue Ridge are expected to lose their jobs in cuts the jeans maker announced Monday. <br> <br> In all, the company plans to close six U.S. manufacturing plants this year, laying off 3,300 employees, or about 20 percent of its work force. <br> <br> The Blue Ridge plant will close in June. The Georgia Department of Labor said it is working to provide employment and training assistance to the employees who will be laid off. <br> <br> Labor Commissioner Michael Thurmond emphasized that the laid-off workers ``are not alone in dealing with this problem.&#39;&#39; <br> <br> The company also will close its San Francisco plant in June, followed in August by plants in Brownsville and San Benito, Texas, and in October with plants in Powell, Tennessee, and El Paso, Texas. <br> <br> The San Francisco-based company, whose sales have been sagging, said it wanted to outsource the manufacture of its clothing and move toward marketing the finished product. <br> <br> Chief executive officer Philip Marineau said the company ``must move away from owned-and-operated plants in the U.S. to remain competitive.&#39;&#39; <br> <br> The company said it will continue to operate a sewing plant and a finishing center in San Antonio, though it will cut about 300 jobs there too. <br> <br> A poor sales start this year put Levi&#39;s on track for its sixth consecutive year of declining revenue. <br> <br> The company&#39;s sales totaled $935.3 million for the three months ended February 24, a six percent decline from the same time in the prior year. <br> <br> The company said laid-off employees will receive a ``separation package.&#39;&#39;

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