Indesco International Inc., a New York-based manufacturer of trigger sprayers for packaged consumer products, will phase out two of its plants — a manufacturing plant in El Paso, N.M., and a hand-assembly plant in Ju rez, Mexico.
The plants, which employ about 350 of Indesco's 1,500 employees, will close by June, said Peter Giallorenzo, Indesco vice president and chief financial officer.
Equipment and some of the technical employees from the El Paso plant will be farmed out to plants in Missouri and North Carolina, he said.
There also will be a ``modest expansion'' of the North Carolina facility, he said. The company's other manufacturing and assembly facilities in Costa Rica and the Netherlands will not be affected.
The move is in line with a strategy to integrate subsidiaries into ``a single, coherent operating unit,'' Ariel Gratch, president and chief executive officer, said in a news release.
Indesco was formed by the 1997 merger of AFA Products in Forest City, N.C., and AFA Polytek BV in the Netherlands, and by the 1998 acquisition of Continental Sprayers in St. Peters, Mo., formerly a division of Contico International Inc.
With nearly $90 million in sales during the first nine months of 1998, Indesco is considered one of the top three manufacturers of the polypropylene trigger sprayers worldwide, selling to such multinational companies as Procter & Gamble Co. and Clorox Co., Giallorenzo said.
The privately held company, whose principal shareholder is Gratch, sold $145 million in publicly registered high-yield bonds and therefore files quarterly financial statements with the Security Exchange Commission.