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Hanesbrands to increase supply chain efficiency

Oct '06
Hanesbrands Inc is a leading marketer of innerwear, outerwear and hosiery apparel, announced that it will close a high-cost distribution center in Florida and consolidates two other distribution centers in Winston-Salem, into a nearby third facility.

The company will reduce the amount of space it leases for distribution of men's underwear, women's panties and sleepwear by more than 400,000 square feet. The consolidation also will better align the company's product flow within its overall global supply chain by moving distribution of some products from Florida to the company's new distribution center in California.

The closing of the Weston, Florida, distribution center will result in a reduction of 79 jobs. There will not be a job reduction as a result of the consolidation of distribution operations in Winston-Salem.

"We are moving quickly to drive improvements throughout our global supply chain," said Gerald Evans, Hanesbrands Executive Vice President and Chief Global Supply Chain Officer.

"We opened our first distribution center on the West Coast in July, and it offers a preferred location for some of our products that are being distributed through Florida. In Winston-Salem, we will significantly increase the efficiency of those operations by consolidating two leased facilities into other existing leased space."

"We regret that our employees in Weston, Florida, will be affected by the distribution center closure, but we must continually improve to remain competitive and create opportunities for our organization as a whole."

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