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November 07, 2009

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Bush Hog Plant To Resume Operations

Published: 9:29 AM, 01/26/2009 Last updated: 9:32 AM, 01/26/2009
 


Source: The Greeneville Sun

Company Memo

Says Manufacturer

May Be Sold

By DOUGLAS WATSON

Managing Editor

Bush Hog has announced that it will resume operations "in early February" at its plants, including the one in nearby Washington County.

However, Bush Hog's president also announced to its employees that the company may be sold.

The $27 million, 360,000-square-foot Bush Hog factory six miles from Greene County earlier this month "suspended operations" for at least two weeks as a result of slow sales nationally of Bush Hog equipment.

As of a year ago, about one-fourth of the plant's then 230 employees resided in Greene County, according to the plant's human resources director.

President's Statement

Duane Prentice, Bush Hog's president, has sent the following message to the company's employees:

"A memo you received from Bush Hog earlier this month may have caused some confusion. Many of you are asking reasonable questions, which is to be expected from employees who have served Bush Hog for so long and have such pride in this company...

"I write to update all employees on where Bush Hog stands and to clarify our current status. We understand the stress these circumstances have put on you and your families and we hope to alleviate some of that anxiety.

"First and most important, Bush Hog plans to return to production in early February.

"Like many manufacturers in these economic times, we are taking action to avoid excess field inventory. The current temporary production stoppage is one of the initiatives we have implemented to ensure that our field inventory level is brought down to an acceptable level.

"Beginning Thursday, Jan. 29, we will provide everyone with an update on February production and work schedules. ... If you are a Telford employee you can call Stacie or Anita in the Human Resources office. Anita can be reached at (423) 788-7181 and Stacie can be reached at (423) 788-7184."

Company To Be Sold?

Prentice's memo to Bush Hog employees continues, "As you are aware, Bush Hog's ownership is investigating whether or not this may be the right time to sell the company.

"Bush Hog owner CC Industries has hired Lincoln International, a global merger and acquisition advisory firm, to help evaluate options.

"A number of interested parties have come forward, clearly drawn to the opportunity to own a quality company, but a sale is far from certain.

"Our ownership is committed to exploring its strategic options for a potential sale, but to be clear: Bush Hog has been, is, and will continue to be the market leader in rotary cutters and other agricultural implements.

"With your help, we will continue supplying our customers with products as usual. We're committed to providing the same service our customers have come to expect from us. As always, please feel free to contact me or your managers to discuss any concerns you may have. We remain dedicated to being open and honest with you and to sharing updated news as we can.

"Thank you again for your ongoing patience, all the hard work you have invested in the company and for being part of this great Bush Hog family."

Company's Background

Bush Hog is owned by CC Industries, Inc., of Chicago, a corporation which, in turn, is owned by Henry Crown & Co., also of Chicago.

CC Industries (CCI) earlier had announced, "The decision has been made to explore strategic options with respect to their continued investment in Bush Hog, LLC.

"Bush Hog's product line includes rotary cutters, finishing mowers, zero-turn mowers, front-end loaders, backhoes, utility vehicles, landscape equipment and a wide variety of other implements."

Bush Hog also has three manufacturing plants in Alabama and another in Great Bend, Kansas.

The Bush Hog plant was opened in 2001.

For more information and stories, see today's edition of The Greeneville Sun.

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