On May 16, 2024, Nortech Systems Incorporated announced that the company will close its manufacturing plant located in Blue Earth, Minnesota and relocate the production of products made in that facility to its facility in Bemidji, Minnesota. To optimize expense structure and plant capacity utilization, the company are consolidating Minnesota facilities. This company announced the decision to consolidate production of wire and cable products for the Aerospace and Defense industry to Bemidji, Minnesota facility.

The shift in production is expected to be completed by the end of 2024, at which time the Company will close the Blue Earth, Minnesota facility. In the spirit of taking the best care of employees as possible, all Blue Earth employees will be extended job offers at other Minnesota facilities. The company further announced that it expects this closure to result in out-of-pocket expenses for employee severance and other plant closure expenses of approximately $1.0 million to $1.1 million, including asset write-offs of about $0.4 million.

The plant closure expenses are expected to be incurred by December 31, 2024.