NEW YORK (AP) — Lennox International Inc. said Friday it plans to close its hearth products operations in Lynwood, Calif., and consolidate its fireplace manufacturing operations in Union City, Tenn., amid weakness in the residential new construction market.
The hearth products segment makes and markets factory-built fireplaces, stoves and other hearth products and accessories for the residential new construction and remodeling markets.
''The current downturn in the residential new construction market, combined with increasing competition and the need to control costs, make it imperative for us to increase efficiencies in our operations,'' said Lennox chief executive Todd Bluedorn in a statement.
Company officials weren't immediately available to provide details on layoffs.
The phased consolidation is scheduled to be completed by the end of second quarter of 2008, with a projected cost of about $5 million. The company also said it expects the consolidation to lead to annual cost reductions of more than $2 million beginning in April.