Regulatory Report

Boelter Buys Assets Of U.S. Foodservice Contract Design
The Boelter Companies, the Milwaukee-based industry equipment and design firm, has finalized the acquisition of certain assets of the Contract Division of U.S. Foodservice, the business arm responsible for procuring and installing commercial foodservice equipment. The acquisition nearly doubles Boelter’s existing contract division.

The new company, called Boelter Contract & Design, LLC, will be headed by Lenny Mazurek, president, and Steve Trebisovsky, v.p. Both former U.S. Foodservice Contract Division vets, Mazurek had served as national v.p. of sales, while Trebisovsky is the former Midwest regional manager.

Boelter will support the management and completion of all existing projects of the U.S. Foodservice’s Contract Division across the United States—an estimated $16 million in remaining work. The company plans to maintain U.S. Foodservice Contract Design offices in Atlanta, Los Angeles, Minneapolis, Phoenix, Sacramento, Calif., St. Louis and Wells, Maine.

Boelter currently operates 12 offices in eight states.

Oneida To Close Last Flatware Factory
Oneida Ltd., the last U.S. domestic maker of stainless steel flatware, has announced the closing of its remaining plant, in Sherrill, N.Y. As of early next year, the Oneida, N.Y., company will become wholly an importer, buying goods from other countries and selling them under the Oneida name.

Five hundred workers stand to lose their jobs. About 400 employees, however, will remain at the company's headquarters in Oneida, its warehouses and the Oneida Home store.

The Sherrill factory closure comes despite an attempt to cut operating costs through a "lean" manufacturing system. Ultimately the measures were not enough to stem the factory’s losses, which soared to $48.3 million including $45.5 million in one-time charges during the second quarter of this year.

"For long-term viability, closing the factory dramatically lowers our costs, which will help return Oneida to profitability," said Oneida CEO Peter Kallet. "While [we] understand the impact and significance of the factory closing, this step is essential in order to protect the company’s future."

The decision to close the more than 100-year-old plant was reached in early September. The company had decided in October 2003 to close its five other manufacturing facilities due to similar losses.