Baggage Handling Specialist Consolidates US Operations
Media Release 19 May 2011
Airport Baggage Handling Specialist Consolidates US Operations
Glidepath LLC, the U.S.A. subsidiary of Glidepath Group, is consolidating operations at its Texas base in a reorganisation to better position the automated airport baggage, security screening and cargo handling specialist for the eventual upturn in the industry.
Glidepath Group was continuing to win new business in growing markets in Asia where Glidepath has a long and sound project history, while New Zealand and Australia remained steady and Africa and South and Central America were also generating fresh opportunities, Glidepath Group Chairman, Sir Ken Stevens said.
"The global aviation market is tight and the North American market is especially so. We're not alone in experiencing the negative impact of the downturn and fierce competition on our business in the United States. We are committed to the market, but our analysis is that the sector will remain depressed at least into 2012. As a result we are consolidating our business operations to reduce overheads, gain efficiencies and be in a strong position to compete successfully when the business climate improves," he said.
"Airport managers are waiting for more definite signs of a sustainable economic recovery in the travel sector before committing to further capital spending. We, like all our competitors, have to look for increased competitiveness and cost saving innovations."
Glidepath, which has facilities in nine countries and its global headquarters in Auckland, New Zealand, expanded its fabrication facility in Dallas/Fort Worth in 2009 following the award of several US$20M+ projects and in expectation of further industry growth from Washington's homeland security initiatives which has not materialised.
As part of the reorganisation, the sales, engineering and project management staff are relocating into the expanded manufacturing facility, Sir Ken said.
U.S.A. CEO Matt Williams, who has overseen Glidepath's Texas operations from its start-up in 2004, will shortly leave the company. David Mead will continue as VP Sales and Marketing, Greg Wheeler. as VP Operations while accounting functions will be conducted by Jacqueline Brown.
"We are confident the reorganisation will provide the US subsidiary of Glidepath a strong operating base going into 2012," Sir Ken said. "We are focusing on establishing our India, China and Southeast Asian presence. We are also continually evolving our offering to identify new technologies, skills and efficiencies which enable us to deliver quality for less."