Polaris will close its Osceola, Wis., manufacturing plant by the end of the year, leaving 200 employees out of work.
The Minnesota-based company makes motorcycle engines and powertrains, and other components for its offroad vehicles and snowmobiles at the Osceola facility.
“Yesterday, we informed the Osceola team that we made the difficult decision to close the facility and will wind down operations over the next year,” a Polaris spokesperson wrote in an email Thursday, Jan. 22.
The closure is related to the company’s sale of Indian Motorcycle, which is expected to close in the first quarter. Polaris announced the deal with Los Angeles-based private equity firm Carolwood LP in October.
Terms have not been disclosed, but Polaris will maintain a minority interest in the standalone Indian Motorcycle.
Engine manufacturing for the motorcycles will be consolidated in the Spirit Lake, Iowa, plant included in the deal. Polaris officials said the company plans to shift production of powertrains and components to other plants.
Polaris will begin winding down Osceola operations in phases this summer. The company is offering outplacement services and relocation opportunities for employees.
“We recognize the difficulty this change will mean in the lives of employees and we are committed to supporting them through this transition,” the company said in a statement.
