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CIG renews remanufacturing facility lease

CIG renews remanufacturing facility lease

July 22, 2016

An image from the Van Nuys plant when it was owned by MSE

An image from the Van Nuys plant when it was owned by MSE

Clover Imaging Group (CIG) stated that the site, in Van Nuys, California, will “remain fully operational” through to the end of 2019.

The site is the former MSE facility, and CIG added that it “remains committed” to the location, “renewing the lease through the end of 2019”, with the site to “continue to be a central part of CIG’s US distribution as well as manufacturing and packaging”. It also said by the remanufacturing group to be a “key research and development centre for colour and monochrome toner”.

In May, The Recycler reported that the location, on 8201 Woodley Avenue in Van Nuys, would be “eliminating” the second shift, with 205 staff to lose their jobs from June. The decision was said at the time by San Fernando Valley Business Journal to be because the work “has been relocated to Mexico”. CIG acquired the facility in 2014 after its merger with MSE, which had previously owned the site and operated it under its name, before Clover took over in February.

Luke Goldberg, CIG’s Executive Vice President of Global Sales and Marketing, told the news source that one shift of workers will remain at the site, and added that “we are still manufacturing in the Van Nuys facility, just not at the volume we had been because we have shifted work to Mexicali”. He added that Clover is “one of the last remaining toner cartridge remanufacturers in the United States, as most of the competition has moved to Asia or Mexico”.

In this sense, he pointed out, “transitioning work to the Mexicali plant is necessary to keep pace”, with Goldberg directly commenting that “we have major competition from offshore, and this is a step that helps us remain competitive for our customers”.

On the renewal of the lease, Goldberg stated: “This facility remains integral to our manufacturing, sales, customer support, and distribution strategy. The Van Nuys facility will continue to serve as a critical element in our ability to deliver CIG quality products and services to our customers in the western US and to global markets.”

Categories : World Focus

Tags : Business CIG USA

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