Supply Chain by the Numbers
   
 

- Sept. 16 , 2010 -

   
 

This Week’s Supply Chain by the Numbers for Sept. 16, 2010

   
 

$50 Million in Concessions Keeps Harley Hog Production in Wisconsin; Ex-IBM Chief Gets 6-Months in Slammer; FedEx Freight Losses Continue; End of US Light Bulb Production

   
 
 
 

$50 million

The annual savings Harley-Davidson says it will achieve after two of its unions agreed last week to a number of contract concessions that the motorcycle giant were essential to keep it from moving several factories out of the state of Wisconsin. The concessions included keeping wages flat and more importantly reducing the minimum number of full-time union employees at the plants and greater flexibility to use of temporary/seasonal labor.

 
 



 

6

Months in prison former IBM supply chain chief Bob Moffat was sentenced to this week as a result of the insider trading scandal Moffat was caught up in, largely due to an affair he had with a central player in the scheme, following a plea deal with federal prosecutors.

 

 
 
200

Number of workers that will be let go as GE announced this week plans to close the last incandescent light bulb factory in the US, in Winchester, VA.  The move is in large part the inevitable result of a 2007 law that effectively banned these bulbs in the US by 2012 in favor of more energy efficient CFL bulbs - but nearly all those bulbs are now being made in China, where thousands of jobs  have been created as a result.

 
 
 
 
$16 million

The loss in the just announced most recently quarterly results for FedEx's FedEx Freight division, versus a loss of just $2 million in the terrible freight environment of 2009. Financial analysts say the cause was continued discounting to maintain share in the still highly fragmented LTL freight market.

 
 
 
 
 
 
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