Fluor Daniel Awarded Contract By VW Argentina

July 18, 1996

A unit of Fluor Daniel announced today it has signed a contract with VW Argentina, a subsidiary of Volkswagen AG, headquartered in Wolfsburg, Germany, for the initial stage of a three-year plant maintenance project in Argentina. The value of the contract was not disclosed. Fluor Daniel’s Facility & Plant Services (F&PS) operating company will provide home office support, and Fluor Daniel South America Limited (FDSAL) will execute the project with support from its local partner, SADE. The work is located at VW’s Pacheco Plant, located approximately 25 miles north of Buenos Aires. The team is expected to grow to 150 maintenance technicians, support staff and management.

F&PS will provide a computerized maintenance management system, preventive and predictive maintenance programs, ISO 9000 certification assistance, total productive maintenance and safety training programs to increase productivity and reduce operating costs. “This project is a great example of our new culture of growth, globalization, empowerment and accountability taking hold in a new geographical market,” said Dave Murdock, president of F&PS.

FDSAL will clean and maintain production line and plant support equipment, including the vehicle paint facility. The maintenance project, which is the first of its kind in Argentina and the first ever for VW, will be executed using modern maintenance technology and procedures to ensure equipment reliability. “This is a breakthrough project for us in this rapidly developing region,” said Steve MacLeod, Fluor Daniel’s president of the South Latin America region. “We're confident it will be a springboard for other similar contracts with automotive and industrial clients in Argentina.”

VW Argentina has been producing automobiles in Argentina since 1980. The plant's existing sedan line, which has a production goal of 30 cars per hour, is already producing 200 cars per day. The launch of a four-door sedan production line this summer will increase the amount of equipment to be maintained. The planned expansion project will bring approximately 8,000 new jobs into the local community.

Fluor Daniel Inc., the principal subsidiary of Fluor Corporation, is a global engineering, construction and diversified services company with more than 50 offices worldwide.