Dimac Corp., St. Louis, a direct response marketing solutions company, plans to consolidate the production operations of its Dimac Direct Inc. subsidiary, which offers strategic planning, program development, response processing and analysis for direct marketing programs.
This consolidation continues the company's efforts to improve its overall profitability and cash flow. The company filed for Chapter 11 bankruptcy protection in April, and its AmeriComm Holdings unit last month planned to explore the sale of several noncore business units.
The production operations are located in both St. Louis and Central Islip, NY, and will be consolidated into the Central Islip facility. Over the next five months, the current staff in the St. Louis facility will be reduced by about 370 production positions, primarily in the printing, warehousing and mail production areas. The St. Louis facility will retain 147 positions, consisting of sales, account management, information services, human resources and purchasing and accounting. The resulting realignment of production capacity will add about 145 positions in Central Islip, primarily in direct mail production and material-handling activities. The transition process is expected be complete by year-end.
