MMC expects job growth in Sparta

After a Raleigh newspaper printed a headline last Friday that stated Martin Marietta Materials was ‘gutting' its composites business, rumors began to circulate locally that the Sparta Martin Marietta Composites (MMC) manufacturing facility was going to shut down.

However, those rumors are unfounded, a top company executive said Tuesday.

The story stemmed from an interview with Martin Marietta Materials Chief Executive Officer Stephan Zelnak, who was making 2006 year-end report to stock analysts. In a conversation about the company's performance, Zelnak pointed out that MMC was dropping its truck trailer line, which had been a money loser for the company.

MMC Vice President and General Manager Grant Godwin confirmed in an interview Tuesday that the company stopped producing trailers because market acceptance was much slower than expected. "For now, we will refocus on products that we feel have a higher probability of success," Godwin said.

Godwin said the newspaper story had led some to errantly believe that the company was closing its composites business and the Sparta manufacturing plant. "We tried to make some calls and let people know that wasn't the case. It was just an unfortunate choice of wording (in the newspaper story)."

As for the trailer manufacturing, Godwin said the company had come to the decision to phase out production in November 2006. "We didn't make a public announcement because we thought we might want to get back into that facet of manufacturing if the market situation changed," Godwin said. "Basically, we decided to phase out the truck trailers and turn our attention to more lucrative product lines." Godwin said Martin Marietta Materials, the parent company of MMC, stands solidly behind its composites unit and expects it to be profitable.

"The confidence of the company is as strong in composites as it's ever been. We're continuing to produce and develop truck bodies, including panels and body kits to other body manufacturers, military applications and other panel products," said Godwin.

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