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AGCO closes Challenger plant

AGCO Corporation says it is closing its track tractor factory in DeKalb, IL. Currently, the DeKalb plant assembles Challenger track tractors in the range of 235 to 500 horsepower. The company says it may relocate production to one of its current facilities in either Jackson, MN, or Hesston, KS.

AGCO acquired the DeKalb plant from Caterpillar Inc. in March 2002. AGCO says current and forecasted production levels are not sufficient to support a stand-alone tractor site that currently runs at approximately 20% capacity.

Production at the DeKalb assembly plant will cease by late May 2003, with production to be relocated and resumed in July 2003.

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