Modine Plans to Close Harrodsburg, Kentucky, as Part of Capacity Consolidation; Will Offer Support Services to Affected Employees

Thu Oct 22, 2009 4:00pm EDT

* Reuters is not responsible for the content in this press release.

HARRODSBURG, Ky.--(Business Wire)--
Modine Manufacturing Company (NYSE: MOD), a diversified global leader in thermal
management technology and solutions, today announced its intention to close its
manufacturing facility here. The closure is expected to impact approximately 110
total employees, who will receive a variety of support services. This action
reflects Modine`s continued execution of its strategic Four-Point Business Plan,
which consists of product line rationalization, manufacturing capacity
realignment, fixed-cost reduction and capital allocation discipline. 

Modine will transfer production from the 253,452 square-foot Harrodsburg plant
to other Modine facilities in North America to consolidate regional production.
The Harrodsburg plant makes radiators, round tube plate fin heat exchangers and
HVAC modules for the commercial vehicle and off-highway markets. Plans call for
the plant to close over an approximate six- to nine-month period. Modine will
provide the affected employees severance and work closely with the Kentucky
Department of Labor and other state and local agencies to offer employment
assistance and other services. 

"Closing operations is never easy," said Scott Bowser, Modine Regional Vice
President - Americas. "The difficult decision to close Harrodsburg was based
upon our ongoing review and analysis of Modine`s global product lines. This
analysis resulted in our decision to strategically de-emphasize our vehicular
HVAC presence, which has been a core product line in Harrodsburg. Closing the
plant will help us rationalize production, achieve the scale we need in our
manufacturing operations and improve our overall profitability and
competitiveness. Balancing production capacity in this way also will give us the
flexibility to supply customers with cost-advantaged thermal management
solutions during the current economic downturn and position us to grow when the
markets recover." 

Bowser expressed Modine`s "deep appreciation to all of the Harrodsburg employees
for the hard work and dedication they have shown and their determination to
provide the best thermal products and systems to our customers. We want to make
the transition as seamless as possible to our customers and to assist the
affected employees during the transition." 

About Modine -

Founded in 1916, with fiscal 2009 revenues of $1.4 billion, Modine specializes
in thermal management systems and components, bringing highly engineered heating
and cooling technology and solutions to diversified global markets. Modine
products are used in light, medium and heavy-duty vehicles, heating, ventilating
and air conditioning equipment, off-highway and industrial equipment,
refrigeration systems and fuel cells. The company employs approximately 7,000
people at 32 facilities worldwide in 15 countries. For information about Modine,

Forward-Looking Statements

This press release contains statements accompanied by phrases such as
"believes," "estimates," "expects," "plans," "anticipates," "intends," and other
similar "forward-looking" statements, as defined in the Private Securities
Litigation Reform Act of 1995. Modine`s actual results, performance or
achievements may differ materially from those expressed or implied in these
statements, because of certain risks and uncertainties, including, but not
limited to, those described under "Risk Factors" in Item 1A of Part I of the
company's Annual Report on Form 10-K for the year ended March 31, 2009 and under
"Forward-Looking Statements" in Item 7 of Part II. Other risks and uncertainties
include, but are not limited to, the following: the company`s ability to remain
in compliance with its debt agreements and financial covenants going forward;
Modine`s ability to fund its liquidity requirements and meet its long-term
commitments given the continued decline and disruption in the credit markets due
to the world-wide credit crisis; the impact the current global economic
uncertainty and credit market turmoil is having on Modine, its customers and its
suppliers and any worsening of such economic conditions; the secondary effects
on Modine`s future cash flows and liquidity that may result from Modine`s
customers and lenders dealing with the economic crisis and its consequences;
Modine`s ability to limit capital spending and/or consummate planned
divestitures; Modine`s ability to successfully execute its four-point recovery
plan; the nature of the vehicular industry, including the dramatic decline in
customer build rates; and other risks and uncertainties identified by the
company in public filings with the U.S. Securities and Exchange Commission. The
company does not assume any obligation to update any forward-looking statements
except as required by law.

Modine Manufacturing Company
Susan Fisher - 262-636-8434

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