Tredegar Corp. is shifting most of its film extrusion product-development from current locations in Terre Haute, Ind., and Lake Zurich, Ill., to a leased facility in Richmond, Va., spokeswoman Mitzi Reynolds said Sept. 14.
A downsized engineering and development center will remain in Terre Haute, where a majority of the current work takes place, she said. The technical center in Lake Zurich will be discontinued next year, she said.
The Richmond-based company plans to complete the move by the end of 2005, Reynolds said. The company will offer 40 positions in Richmond and spend about $2.5 million to shift and upgrade cast, extrusion and lab equipment, she said. Workers at existing technical centers are being offered positions in Richmond, she said.
The new center will be slightly reduced in size from Tredegar's current development facilities, she said. The company will eliminate about 20 positions and expects to save about $2 million in annual expenses, primarily from salaries, Reynolds said.
However, the new center will be closer to Tredegar's sales and marketing staffs, allowing more interaction among departments, she said.
``We'll use this as an opportunity to more intensely focus on prioritizing our work,'' she said.
The center mainly will focus on two main product areas, its feminine-hygiene top sheets and its elastic liners used primarily in diapers, Reynolds said. Those personal-care products account for about three-quarters of Tredegar's films business, she said.
The company also has small research and development centers in Shanghai, China, and Chieti, Italy, near the site of overseas Tredegar plants, she said. The company will continue to operate manufacturing plants in both Terre Haute and Lake Zurich.
Tredegar recorded sales of $381 million for its previous fiscal year, ended June 30.