DENVER (July 6, 2009)—Gates Corp. plans to close its Boone, Iowa, facility as part of a restructuring of its hydraulic hose coupled assembly manufacturing facilities in North America. The closing will result in 100 job cuts and is expected to be complete in this year's fourth quarter.
Gates will continue to make hydraulic coupled hose assembles at its facilities in Iola, Kan., and Glade Spring, Va.
The company blamed the closing on a competitive business environment and the economic downturn. “We regret having to consider any plant closing and do not take this decision lightly,” David Gau, president of Gates Fluid Power, said in a statement. “However, this action is necessary and important to drive operational efficiencies and enforce our leadership in the areas of service excellence to our industrial OEM customers.”