Shaw cuts back Tifton yarn plant -, South Georgia News, Weather, Sports

Shaw cuts back Tifton yarn plant

News release from Shaw Industries

DALTON, Ga. - October 27, 2009 - Shaw Industries Group, Inc. announces its intention to reduce the workforce at Plant WK, a spun yarn facility in Tifton, Ga., in the upcoming weeks. About 200 associates will be impacted by this reduction and will be afforded priority placement in existing and future openings at other Shaw facilities.

The demand for interior finishes, including carpet and other flooring products, remains at reduced levels due to the continuing difficulties of the housing sector. During these times, customer preference is evolving, creating shifts in demand to carpet product types other than those made with spun yarn. The reduction of the workforce at Plant WK is an unfortunate but necessary step in order to balance the company's production with the existing and future customer demand.

Shaw is providing immediate support to assist impacted associates during this time of transition. The company's Central Hiring Office resources will lead efforts to match displaced associates with openings at other Shaw locations. Shaw is also partnering with the Georgia Department of Labor's Rapid Response Team to provide on-site one-on-one sessions to counsel employees, explain benefits, and provide out-placement and retraining.

Shaw is contacting regional employers to help identify future career opportunities for affected associates that do not relocate to other Shaw plants. The company expresses its sincere gratitude to the impacted associates at Plant WK, for their years of support and service.

The decision to reduce the Plant's labor force in no way reflects on their performance. Shaw remains confident about the future of carpet and flooring. The company continues to protect and improve its competitive position and leadership in the industry, while making investments in support of these goals.

In recent weeks, Shaw announced the expansion of its filament yarn facility in Calhoun, Ga.

About Shaw

Shaw Industries Group, Inc., a subsidiary of Berkshire Hathaway, Inc., is the world's largest carpet manufacturer and a leading floor covering provider with $5 billion in annual sales and approximately 26,000 associates.

Headquartered in Dalton, Ga., the company manufactures and distributes carpeting, rugs, hardwood, laminate and ceramic tile for residential and commercial applications worldwide.

A recognized leader in environmental stewardship, Shaw has implemented hundreds of sustainability initiatives and cradle to cradle design solutions, collectively termed the Shaw Green Edge.

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