Caterpillar Tunneling Canada Corporation (CTCC) today notified employees that it will exit the business and cease production at its facilities by mid 2014. Caterpillar purchased Lovat Inc., which is known today as CTCC, in 2008, as its entry into the tunnel boring business. The company has since determined the business no longer represents a strategic growth opportunity.
“We continuously evaluate our strategic portfolio to ensure alignment with our long-term strategy and have concluded the tunneling business no longer fits that strategy,” said Stu Levenick, Caterpillar group president with responsibility for Customer & Dealer Support. “As a result, we have elected to exit the business. We know this is difficult news for our employees and their families. We acquired a great team when we bought this company, and while they have demonstrated an ability to build quality products, the future prospects of this business no longer align with our expectations.”
The decision will impact approximately 330 employees. CTCC is offering its employees a severance package and will work with appropriate agencies on outplacement services.
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CTCC will honor current contractual obligations to existing customers, including the assurance that after-sales support needs are satisfied. Caterpillar has committed to provide parts and service support through 2016.
This is no surprise. First it was Jarva, then Robbins, now Lovat.
Don’t forget SELI & Wirth…..the options are becoming limited which is never good in any supply chain
Al Borrero !!!! Where the heck are you ! just saw the above posting. nYou have to be the same Al Borrero I knew at S & M / Mole / Jarva. nThis is Harry Hilton.nRetired for some years now but starting to maken contact with a few old friends on Linkedin. I live in Olathe, KS n(Kansas City). Have been wondering about the Lovat Co. I lived in Canadan 16 yrs. Knew Richard very well. As a matter of fact I used the SECOND nmachine he built (in about 19660) in Toronto – 16 ft. I believe.nopen face (No EPB back then) we used about 5 to 10 p.s.i. compressed-air.nShoot me a notenCheersnHarry