A Missouri-based technology and engineering company has announced plans open a new manufacturing facility in Ash Flat, a move that is expected to create almost 250 jobs.
Emerson, the St. Louis-headquartered technology company, will be investing $35 million in this Sharp County facility, which will be part of its tools and home products division. This facility will primarily manufacture products for the mechanical, electrical and plumbing industries.
Emerson acquired the former Cherokee Frame facility, which measures 277,000 sq. ft., to house the new manufacturing center, according to an Arkansas Economic Development Commission (AEDC) spokesperson.
Ash Flat was reportedly chosen for the site of the manufacturing facility due to its proximity to Memphis. The city, which has a population of 1,168 and a median age of 54 according to Censusreporter.org, is roughly 140 miles from Memphis.
Craig Sumner, Emerson’s professional tools portfolio president, said that the facility’s short distance from the company’s Memphis distribution center would improve its shipping and customer service outcomes. “The new facility’s close proximity to our Memphis Distribution Center will allow for reduced lead times for shipping of products and materials, improvements in customer service and opportunities for growth while achieving operational excellence,” he said in a statement.
Ozarka College and Black River Technical College are also partnering with Emerson to develop workforce training programs to prepare workers for the company’s needs.
Emerson executives estimate that the new facility will create 245 jobs within four years. Construction on the project is slated to begin in 2020.
“Emerson has built a legacy as a global leader renowned for its innovative solutions, and we are pleased that Arkansas has become part of Emerson’s story.” Secretary of Commerce Mike Preston said. “Thanks to the company’s investment and commitment to Ash Flat, as well as the overwhelming support of community partners such as the Northeast Arkansas Intermodal Authority, North Arkansas Electric, Ozarka College, FNBC Bank, and the White River Planning and Development District, we are one step closer to putting more Arkansans back to work.”
Founded in 1890, Emerson provides an array of products for industrial, commercial and residential markets, including industrial automation, electrical equipment, climate technologies and more.
Emerson has approximately 88,000 total employees, according to its Bloomberg corporate profile.
The company reported $18.4 billion in sales for fiscal year 2019 with a $3 billion operating cash flow and a$2.4 billion free cash flow. Of its total sales, Emerson’s automation solutions raked in $12.2 billion in sales, and the commercial and residential solutions division had sales of $6.2 billion for fiscal year 2019, according to Emerson’s investor fact sheet.
The fiscal year 2019 sales were the highest in the preceding five years for Emerson. After dipping to $14.5 billion in 2016 from $16.2 billion, the company steadily climbed from $15.3 billion in 2017 to $17.4 billion in 2019 to $18.4 billion in 2019.
Image courtesy of Emerson