Report: Caterpillar To Close Facilities In Texas, Panama & Maybe Illinois

Heavy equipment maker Caterpillar is closing a major factory in Texas and smaller one in Panama, and may close another in its home state of Illinois, according to a report Friday from Reuters.

Mnet 176442 Caterpillar

Heavy equipment maker Caterpillar is closing a major factory in Texas and smaller one in Panama, and may close another in its home state of Illinois, according to a report Friday from Reuters.

The news outlet cited a Caterpillar spokeswoman saying she confirmed the company will close its work tools facility in Waco, TX and its demonstration center in Panama, resulting in a potential loss of up to 880 jobs. Caterpillar is reportedly also considering closing its engine manufacturing facility in LaGrange, IL, which would move production to Winston-Salem, NC, and outside suppliers. If the LaGrange closure happens, it would impact approximately 600 full-time jobs.

The report said the Waco and Panama plant closures were announced internally over the past two months.

Caterpillar sales fell more than 40 percent between 2012 and 2016, resulting in a leadership change and a considerable company restructuring aimed to boost production out of a leaner footprint

More in Operations