It should come as no surprise to anyone that Champion Enterprises, makers of Redman Genesis modular and manufactured homes has closed another manufacturing plant.
Champion Enterprises has closed or idled seven plants in Indiana, Florida, Pennsylvania, North Carolina and now Alabama since June of 2006. Champion Enterprises blames it on slow sales in the modular and manufactured home market. Ever wonder if it could be related to the quality of the product Champion produces? Overall, the marketplace will not miss the loss of another Champion product, however it is very unfortunate for the workers of the various plants.
The most recent closing is occurring in Guin Alabama. To quote Champion Enterprises president and chief executive officer, "...utilization rate and profitability continue continue to run well below acceptable levels..." Translation, cut costs to improve the bottom line, too bad about the employees who have worked at a plant that has been operating as a part of Champion Enterprises since the late 1980's.
Great timing, Champion's announcement came out just a little less than a month before Christmas. No doubt, those workers who might watch Jimmy Stewart in the annual presentation of "It's A Wonderful Life" will think fondly of Champion Enterprises.
If Champion Enterprises showed as much concern for product quality as it does for profit levels, perhaps they would not have to close so many plants and lay so many workers off.
It is only fair that Champion Enterprise's stock took a tumble to $8.25. If you remember, it was just the middle of this last October when it was at a 52-week high of $14.59. How low will it go?
On another note, Champion Enterprises has once again changed General Managers at the Chandler factory in Arizona. One can only surmise that the reason is to raise the utilization rate and profitability so that the plant can stay open. Ever wonder if supervision will change for the purpose of raising quality?
12/20/2008 9:56 PM
m. slover wrote:
i have heard over and over during my almost 3 yrs of fighting champion to make good on my home...that now they may be facing bankruptcy due to the economy.......they created their own demise primarily due to lack of quality and commitment to a product they recklessly put out on the market. we the consumer who's only mistake is that we just want a quality home for our children and believed their idle lies...i have been living a nighmare with electrical and water damage Reply to this
