Spartan Motors Inc. today announced the sale of the majority of its Wakarusa facility to Forest River Inc. This transaction was pursuant to Spartan’s announcement on Feb. 14, 2012, that it will relocate the Company’s Utilimaster operations to Bristol from Wakarusa. All terms of the transaction were in line with previously disclosed estimates.
“The sale of the Wakarusa facility represents an important step in the transition of Utilimaster’s operations to Bristol,” said John Sztykiel, president and CEO of Spartan Motors, Inc. “As we finalize the move and ramp up production, we expect the new, modern plant to support Utilimaster’s long-term growth and enable us to achieve our potential in delivery and service vehicles.”
The move to Bristol, located 20 miles East of Wakarusa, will consolidate Utilimaster’s operations into one facility from its current campus of 16 buildings. Moving into a single plant, combined with lean manufacturing practices, will help enable Utilimaster to improve product quality and manufacturing efficiency by reducing operating costs and eliminating non-value-added steps.