SAN DIEGO--(BUSINESS WIRE)--DJO Incorporated, a global provider of medical device solutions for musculoskeletal health, vascular health and pain management, today announced a new phase of its ongoing integration initiatives, which will include the consolidation of all activities currently conducted at its Hixson, TN site (the “Chattanooga site”) into DJO’s existing facilities in Vista, CA; Indianapolis, IN and Tijuana, Mexico over the next nine to twelve months. This new integration project is expected to provide significant cost-reduction benefits as well as enhanced quality and customer service benefits by leveraging the capabilities of DJO’s award-winning processes and facilities.
At the completion of this integration project, the Chattanooga site will be closed and the real estate will be held for sale. The Company said it expects customer service and distribution activities at the Chattanooga site to be among the last of the activities to be transitioned to minimize disruption to customers. The Company also said it will provide severance benefits and career transition assistance to displaced employees and that affected employees will be eligible to apply for open positions at DJO’s other facilities.
“Economic conditions across the U.S. continue to challenge businesses, including our Chattanooga Business Unit, and the importance of maintaining a disciplined focus on our post-merger integration initiatives to provide both cost-reduction benefits and quality and customer service benefits has never been greater,” said Les Cross, president and CEO. “As a result, it is with mixed emotions that we announce today our decision to close our Chattanooga site and integrate its operations into other existing sites. While we very much regret the impact this decision will have on our colleagues in the Chattanooga site, we believe this is a decision that will make our company stronger and enhance our abilities to serve our customers. We greatly appreciate the dedicated service over the years of the employees in the Chattanooga organization.
“While the Chattanooga site will close, the Chattanooga Business Unit has been, and continues to be, a very important part of the DJO story and our product portfolio and we will continue to invest in new products and new technologies for this business unit. The DJO culture of continuous improvement drives us to constantly look for new opportunities to improve efficiency and leverage the benefits of DJO’s scaleable consolidated infrastructure. This not only permits us to continue to expand our profit margins, but also helps us better manage the impact of the current economic times we face.”
About DJO Incorporated
DJO is a leading global developer, manufacturer and distributor of high-quality medical devices that provide solutions for musculoskeletal health, vascular health and pain management. The Company's products address the continuum of patient care from injury prevention to rehabilitation after surgery, injury or from degenerative disease. Our products are used by orthopedic specialists, spine surgeons, primary care physicians, pain management specialists, physical therapists, podiatrists, chiropractors, athletic trainers and other healthcare professionals. In addition, many of the Company's medical devices and related accessories are used by athletes and patients for injury prevention and at-home physical therapy treatment. The Company's product lines include rigid and soft orthopedic bracing, hot and cold therapy, bone growth stimulators, vascular systems, electrical stimulators used for pain management and physical therapy products. The Company’s surgical division offers a comprehensive suite of reconstructive joint products for the hip, knee and shoulder. DJO's products are marketed under the brands Aircast®, DonJoy®, ProCare®, CMF™, Empi®, Saunders®, Chattanooga, DJO Surgical, Cefar®-Compex® and Ormed®. DJO uses its website as a channel of distribution of material Company information. Financial and other material information regarding the Company is routinely posted and accessible at www.DJOglobal.com.
Contact:
Company Investor/Media Contact: DJO Incorporated Mark Francois Director of Investor Relations & Corporate Communications (760) 734-4766 mark.francois@DJOglobal.com
