Wal-Mart Stores Inc.
) along with nearly 500 suppliers and 1500 government officials
came forward at the U.S. Manufacturing Summit to discuss
opportunities to accelerate manufacturing and employment
opportunities in the country. Together, they are expected to
invest more than $70 million for factory growth and creation of
more than 1,000 domestic jobs.
During the summit, suppliers and manufacturers discussed
opportunities to create jobs, restore communities and drive
economic growth. Governors and state officials also had the
opportunity to communicate with local manufacturers who are more
than willing to create jobs in their communities. The suppliers
also had an opportunity to talk about potential projects and know
about the resources available in different states.
By bringing together both the public and private sectors in
the summit, Walmart helped create innovative solutions to make
production in the U.S. affordable. Some of the companies
General Electric Co.
) have joined forces with Walmart to augment domestic
manufacturing operations. GE is creating 150 jobs for the
production of GE Energy Efficient Soft White bulbs that will be
sold at 3,400 Walmart stores by summer 2014.
In addition, Kayser-Roth Corporation's No nonsense legwear
brand will add more than 100 new jobs at Kayser-Roth and
additional jobs in local industries in North Carolina. The brand
will also invest in its existing production facilities in the
region. Another N.C.-based legwear company Renfro also intends to
expand its capacities over the next two years in Tennessee and
Alabama and create an additional 195 manufacturing jobs.
Element Electronics Corp. plans to open a new flat screen TV
factory in Winnsboro, S.C. in Dec 2013, which will target up to
Greek Yogurt maker, Chobani invested $450 million to open the
largest yogurt manufacturing facility in the world in Idaho last
December and employs more than 1,000 people.
Hampton Products International recently invested $5 million in
its Shell Lake, Wis., facility to begin production of Wright
Products' screen and storm door hardware. The company plans
additional capital investments in 2014 and expects to add 150
Of late, the U.S and some international markets have been
witnessing a challenging retail/sales environment. Consumers have
become more conscious about their spending habits and avoid any
unnecessary expenses. The restrained consumer spending
environment in the U.S. emanated from weak pay and a tepid rate
of hiring. Besides this, the recent hike in payroll taxes and
higher gas prices have curbed consumer spending, which led to
lackluster sales. Lower and middle income consumers have also had
to bear the brunt of higher payroll taxes, which increased 2
percentage points since Jan 2013.
This initiative shows Walmart's dedication to find innovative
solutions to fix unemployment issues utilizing its leadership
position. Being the largest private employer in the U.S., Walmart
took an initiative in late-Jan 2013 to contribute to the
revitalization of the sluggish U.S. economy and intends to spend
$50 billion in the next 10 years to buy more American
Walmart currently carries a Zacks Rank #3 (Hold). However,
stocks in the retail supermarket industry, which are attractive
for investment include
Etablissements Delhaize Fr
), both of them carrying a Zacks Rank #2 (Buy).
DELHAIZE-LE (DEG): Free Stock Analysis Report
GENL ELECTRIC (GE): Free Stock Analysis
SUPERVALU INC (SVU): Free Stock Analysis
WAL-MART STORES (WMT): Free Stock Analysis
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