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Steris Leases Mexico Facility

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Steris Leases Mexico Facility

Steris Corp., a sanitizing lotions and soaps maker, said on Wednesday it signed a lease on a facility in Monterrey, Mexico, where it plans to transfer manufacturing operations from Erie, Pa.

The facility _ which Steris is leasing from real-estate developer Avante Group _ will be used to manufacture sterilization equipment for healthcare, pharmaceutical plants and research laboratories. The facility comprises roughly 13 acres, and is located two and a half hours south of Laredo, Texas. After the initial build-out at the site, Steris plans to transfer operations in phases through the summer of 2007.

In January, Steris announced plans to cut 450 jobs, and to move its Erie, Pa. manufacturing operations to Mexico. The cost-cutting move is expected to save $20 million annually after it is completed, and is expected to result in a charge of $30 million, or 27 cents per share, in the fourth quarter.

More: chron.com

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