KNOXVILLE, Tenn. (AP) - Boat manufacturer Sea Ray announced on Thursday it plans to cut 90 positions in an effort to reduce its supply of boats.
The company said it is trimming production in reaction to a continued soft marine retail market, according to a released statement.
''We will reassign many employees whose jobs otherwise may have been eliminated and have them concentrate on vital strategic initiatives and projects,'' said Sea Ray President Rick Stone.
The company will reduce production at each of its seven U.S. manufacturing facilities and the number of positions at its two Knoxville manufacturing plants by 90 positions, or less than three percent of its total work force.
Sea Ray employs about 1,900 people in Knoxville, where the company's headquarters are based.
Sea Ray operates as part of the Boat Group unit of Brunswick Corp. headquartered in Lake Forest, Ill. Sea Ray has more than 40 models ranging from 17 to 68 feet.
Just last month, Brunswick Chairman and CEO Dusty McCoy said that boat sales were their softest since 1965. His assessment came not long after the company announced plans to lower boat production in the second half of 2007.
Company spokesman Dan Kubera had said at the time the company did not have any plans for layoffs or shift reductions in Tennessee.