Sign of the Times

[Adger Smith]

I just got word from a friend in the industry that says PMI group, that owns JE, Wiseco, K-1 and SRP, plans to close the JE/SRP piston production facility. They have/are selling off all equipment except for 12 machines and they went/are going to the Wiseco piston MFG facility. JE will have a small engineering staff and sales office open. Any pistons made/sold under the JE and SRP name will come from the Wiseco facility. About 100++ jobs are "in the wind". Aug 28 will officially be the last day.

[Ed Fernandez]

And if the brand name continues the boxes in the future will say either Hecho en Mexico or Made in China.

[Adger Smith]

Ed,
I don;t think so. I think it is just the cost of doing business in California got too high that they couldn't pass it along in price increases to the customer. Sounds to me like Dover/PMI knows there is value in the JE & SRP name brands/products.
Sounded to me like they are just dealing with the MFG. On my part I would assume they will still do customs and service all accounts. Sounds like a MFG consolidation, only. The party that I talked to could only tell me the details I posted.
I also posted on a couple of other forums and got a nice reply on Inside Comp Racing from one of my former JE sales persons who now works @ CP.
I'll try to copy and past that here.

Very close to what I also heard. Heard there was a company meeting to let everyone know that all production, inventory and shipping was moving to Ohio (Wiseco).The sales,engineering, and programming for production is staying in Calif. (My guess is these departments will also move to Ohio at a future date.)I was told some of the production employees have a job until October (when the move is scheduled to be completed) and the others will be layed off in increments starting now. I haven't personally talked to anyone who works there or seen any anouncements from Dover/PMI, but some of my co-workers have spoken with current JE Employees and this is what they told me.
Ed Urcis, CP-Carrillo

[David Lee]

they can pay much less to the employees in Ohio where the cost of living is less.

[Alan Roehrich]

Originally Posted by Ed Fernandez

And if the brand name continues the boxes in the future will say either Hecho en Mexico or Made in China.

Wrong.


The only thing that will change is where in the U.S.A. your JE product will be made, and shipped from.

Actually, even TRW/Speed Pro/Federal Mogul has brought some of their better products back to the U.S.A due to quality concerns, and the difference is measurable.

[Alan Roehrich]

Originally Posted by David Lee

they can pay much less to the employees in Ohio where the cost of living is less.

The entire cost of doing business, especially manufacturing, is far less in Ohio.

Those not in California, or a state bordering California, are likely to see a significant reduction in shipping time and cost.

[Adger Smith]

Just so you will know Dover/ PMI is Not foreign owned:

http://www.pmi-brands.com/AboutUs.aspx

http://en.wikipedia.org/wiki/Dover_Corporation

I might add that both Federal Mogul and Mahle/Clevite have gone through their own forms of reorganization/ MFG consolidation in the past couple of years.
Sometimes it helps business and other times it doesn't. The F/M changes it has increased the time it takes to get orders processed and shipped to me. They closed all the distribution centers that were a day or two away from me. This PMI change will probably help the time it takes to get orders. They won't be in Calif. with the shipping shelf they have marked "Ship to Texas, but wait a few days". :~)

[gt350hr]

Adger,
Dover (according to one of my industry friends) has also been increasing their presence in China. They (according to him) are setting up an engine rebuilding company for the Asian market. I wonder how long it will take the man running JE/Wiseco/K1/Innovate to start making pistons so they can "keep their position" in the market like he did when he ran American Racing Wheels? JE has been "bleeding" quality people ( like Ed) for the last 6-7 years and it's sales reflect it. Heck even Eagle hardly uses them.

[Adger Smith]

Yes, No big secret read the links I posted or look them up your self. it's public info. Dover is an International company.
I did not post the information to debate or discuss the way Dover or PMI does business. I just though business owners and people like myself, that do business with them, would like a heads up on what was really going to happen. I didn't want anyone to be blindsided by any nay-sayers mis information. You know, and can see what I'm talking about. Eveyone knows that the "net' is famous for trash and misinformation.
OH! on Monday I got a couple of e-mails from Sean Crawford at JE
-----Original Message-----
From: Sean Crawford
To: adgersperf
Sent: Mon, Jul 2, 2012 5:23 pm
Subject: JE Pistons manufacturing relocation


Adger,

I saw your posts online and thought you would be interested in our plans. I have attached a letter from our Sales Manager.

To clarify, we are only relocating manufacturing to Ohio. All sales, customer service, engineering and other will still remain in California and conduct business exactly as we have in the past. This move was driven by an opportunity to reduce lead times and shipping costs to the majority of our customers and allow for expanded capabilities (such as coatings) internally. As many know, California has become increasingly difficult to work with when it come to chemicals and operating a business overall. In addition, we had a large footprint available in Ohio of unused "free" space. This move will not be cheap for us, as we'll be moving ALL of our manufacturing equipment (76 CNC machines and supporting equipment), but long term it will help our customers get their pistons faster/less expensive and help us remain competitive.

If you have any questions, feel free to ask.

Thank you,

Sean Crawford
Marketing Manager
JE Pistons
O: 714-898-9763 x4273
F: 714-891-3233

GT350HR If you send me your name and e-mail I will forward you the attachment letter from their sales manager.
Adger Smith

[BlueOval Ralph]

Not the same Dover race tracks different company