IWCO Direct to Expand, Restructure Facilities

CHANHASSEN, MN—IWCO Direct will expand its Elm City, NC, plant and consolidate three Long Island, NY, facilities into one, resulting in a net addition of 350 positions to the organization.

Elm City is the former Cox Target Media Valpak production facility acquired by IWCO Direct in October of 2006. The deal included a phased transition plan to be completed in the fourth quarter of this year but, based on performance results and operational costs, the facility will be expanded beyond the initial plan to include a “super commingle” site to drive postal optimization strategies.

As a result, IWCO Direct’s commingling capacity will increase 35 percent. This expansion is in addition to its previously announced plans to invest $30 million in the Elm City facility during the next three years.

The company also plans to consolidate its three Long Island operations into one location in Melville, NY, and will invest more than $2 million in that plant, including the addition of four-color digital printing capabilities. The consolidation will result in the loss of about 200 positions.