Gradco to Consolidate All U.S. Operations in Irvine

Gradco Systems said Thursday that it will consolidate its U.S. operations in a new, $10-million headquarters and assembly facility to be built in Irvine during the next year.

Keith B. Stewart, chairman and chief executive officer of the company, a major designer and supplier of paper-handling equipment for computers and office copiers, said two sites are being considered, both in the Irvine Spectrum development.

Gradco is headquartered in Irvine but maintains facilities in Santa Ana and in New Jersey.

The company does about 70% of its assembly in Korea and Japan, and those facilities will not be affected by the U.S. consolidation, Stewart said.

Stewart said the new building, to be built by a private development firm and leased by Gradco, will be about 120,000 square feet, capable of later being expanded to 140,000 square feet. It will house Gradco’s sales, marketing, engineering, administrative and world headquarters staffs, as well as its U.S. assembly operation.

Gradco employs about 400 people worldwide, including 280 in California. Stewart said California employment would increase to about 300 while total employment would drop to about 350 when the consolidation is completed, he said.

The new building is expected to take about a year to complete, Stewart said. In the interim, the company has leased additional facilities near its assembly plant in Santa Ana.