PLP BECOMES FIRST FIBER CLOSURE AND POLE LINE HARDWARE MANUFACTURER TO SELF-CERTIFY BABA COMPLIANCE FOR U.S. BEAD PROGRAM

Rhea-AI Summary

PLP, a leading U.S. manufacturer of critical broadband infrastructure components, has become the first fiber optic closure and pole line hardware manufacturer to self-certify several core products as compliant with the Build America, Buy America (BABA) Act requirements for the U.S. BEAD Program. This $42.5 billion federal initiative aims to provide high-speed internet access to underserved communities.

PLP has invested over $60 million since 2022 in expanding its U.S. manufacturing operations, including a $27 million expansion in Arkansas. The company currently self-certifies hundreds of BABA-compliant products, with plans to expand this to thousands. Certified products include various COYOTE® enclosures, iron and steel products, and other network equipment.

Positive

• First fiber closure and pole line hardware manufacturer to self-certify BABA compliance for U.S. BEAD Program
• Invested over $60 million in U.S. manufacturing operations since 2022
• $27 million expansion project at Rogers, Arkansas manufacturing plant
• Acquisition of a manufacturing facility in Peninsula, Ohio
• Hundreds of core products already self-certified as BABA-compliant
• Plans to expand BABA-compliant product list to thousands

Negative

• None.

Insights

Market Research Analyst

PLP's announcement of BABA compliance for its core products is a strategic move in the evolving U.S. infrastructure landscape. This positions the company as a frontrunner in the $42.5 billion BEAD Program market. The compliance certification for critical components like fiber optic closures and pole line hardware gives PLP a competitive edge over non-compliant manufacturers.

The company's $60 million investment in U.S. facilities since 2022 demonstrates a proactive approach to meet increased demand. This expansion, including the $27 million Arkansas plant project, signals PLP's commitment to domestic production capacity. For investors, this indicates potential for revenue growth and market share expansion in the burgeoning U.S. broadband infrastructure sector.

Financial Analyst

PLP's BABA compliance certification is a significant financial catalyst. By being first-to-market with compliant products, PLP is positioned to capture a substantial share of the $42.5 billion BEAD Program funding. This could translate into increased sales and profit margins in the coming years.

The company's $60 million investment in U.S. operations, including the $27 million Arkansas expansion, indicates strong financial health and confidence in future growth. This vertical integration strategy could lead to improved cost efficiencies and supply chain resilience, potentially boosting profitability. Investors should monitor PLP's revenue growth and market share gains in the broadband infrastructure sector as key performance indicators.

Tech Expert

PLP's BABA-compliant product range covers critical components for modern broadband infrastructure. The extensive list, including COYOTE® enclosures and FIBERLIGN® products, demonstrates PLP's technical versatility and innovation capacity. These components are essential for high-speed internet deployment, particularly in underserved areas targeted by the BEAD Program.

The company's focus on domestic manufacturing and continuous product certification process indicates a robust R&D pipeline. This approach not only ensures compliance but also positions PLP to adapt quickly to evolving technical standards in broadband infrastructure. The emphasis on quality and local support could lead to increased customer loyalty and market leadership in the rapidly growing U.S. broadband sector.

CLEVELAND, Aug. 16, 2024 /PRNewswire/ -- PLP, a global leader and key U.S. manufacturer of critical broadband infrastructure components, today announced that it is the first fiber optic closure and pole line hardware manufacturer to self-certify several of its core products as compliant with the Build America, Buy America (BABA) Act requirements of the U.S. BEAD Program.

The BABA Act, part of the Infrastructure Investment and Jobs Act (IIJA)—also known as the Bipartisan Infrastructure Law—mandates strict U.S. domestic sourcing requirements for all related programs, including the Broadband Equity, Access, and Deployment (BEAD) Program, which allocates $42.5 billion in federal grants to U.S. states and territories for the planning, deployment, and adoption of projects and activities that provide high-speed internet access to unserved and underserved communities.

For nearly 80 years, PLP has been a strong advocate for U.S. manufacturing and American workers, ever since its founding in Cleveland, Ohio, in 1947. The company's state-of-the-art plants in Arkansas, North Carolina, and Ohio manufacture thousands of components used in critical communications and power networks worldwide, including industry-leading fiber optic splice closures, pedestals, and pole line hardware devices. These BABA-compliant products are essential for future U.S. infrastructure projects, including those funded by the BEAD Program and other critical infrastructure initiatives.

"As a leading U.S. manufacturer of many components that require Build America, Buy America compliance, we are committed to ensuring that our customers and their infrastructure projects adhere to the IIJA's BABA mandate, not only because it supports American jobs and the overall economy, but also because it aligns with our long-standing pledge to provide our customers with the highest-quality American-made products backed by unparalleled local support," said John Hofstetter, Executive Vice President of U.S. Operations at PLP.

Since the beginning of 2022, PLP has invested over $60 million in new facilities, capacity enhancements, and equipment upgrades that further strengthen its U.S. manufacturing operations, including a recent $27 million expansion project at the company's Rogers, Arkansas manufacturing plant and the acquisition of a manufacturing facility in Peninsula, Ohio.

"Although PLP is already well-positioned as a prominent U.S. manufacturer with strong domestic supplier relationships and has many products that are compliant from day one, we are being diligent with our certification process. While we currently self-certify hundreds of core products, we anticipate this number to quickly grow into the thousands as we continuously evaluate existing SKUs and bring new domestic production resources online," said Matthew Becker, Senior Market Manager of North America Communications at PLP.

The current list of certified BABA-compliant products includes:

Enclosures

• COYOTE^® DTC
• COYOTE^® Drop Cable Closures
• COYOTE^® LCC
• COYOTE^® In-Line Runt Closures
• COYOTE^® ONE Dome Closures
• COYOTE^® 6.5" x 17" Dome Closures
• COYOTE^® 6.5" x 22" Dome Closures
• COYOTE^® Taut Closures
• COYOTE^® 9.5" x 19" Dome Closures
• COYOTE^® 9.5" x 28" Dome Closures
• COYOTE^® HD Dome Closures
• COYOTE^® HD Stainless Steel Splice Cases
• COYOTE^® Aerial Drop Closures
• COYOTE^® Terminal Closures
• COYOTE^® Terminal Dome Closures
• COYOTE^® 8" Pedestals
• COYOTE^® GLC

Iron or Steel Products

• GUY-GRIP^® Dead-Ends
• False Dead-Ends
• Strand Splices
• Reducing Splices

Other Network Equipment

• SLACKLOOP^® Plastic In-Span Storage
• SLACKLOOP^® Aluminum In-Span Storage
• SLACKLOOP^® Center-Lock Storage
• SLACKLOOP^® 33" Cable Storage
• SLACKLOOP^® Compact Cable Storage
• COYOTE^® Splice Trays
• Guy Markers
• Spiral Vibration Dampers
• FIBERLIGN^® Dielectric Dampers
• Air Flow Spoilers

PLP anticipates its list of compliant products will continuously grow as additional products are reviewed and certified by the company's internal compliance team.

For additional information regarding BABA compliance, the company has established an online resource at go.plp.com/baba.

ABOUT PLP

PLP protects the world's most critical connections by creating stronger and more reliable networks. The company's precision-engineered solutions are trusted by energy and communications providers worldwide to perform better and last longer. With locations in over 20 countries, PLP works as a united global corporation, delivering high-quality products and unparalleled service to customers around the world.

BABA COMPLIANCE        
MATTHEW BECKER        
SENIOR MARKET MANAGER,    
NORTH AMERICA COMMUNICATIONS                    
+1 440 473 9228
MATT.BECKER@PLP.COM

 

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SOURCE Preformed Line Products

FAQ

What is PLP's role in the U.S. BEAD Program?

PLP is the first fiber optic closure and pole line hardware manufacturer to self-certify several core products as compliant with the Build America, Buy America (BABA) Act requirements for the U.S. BEAD Program, which allocates $42.5 billion in federal grants for high-speed internet access projects.

How much has PLP invested in U.S. manufacturing since 2022?

PLP has invested over $60 million in new facilities, capacity enhancements, and equipment upgrades to strengthen its U.S. manufacturing operations since the beginning of 2022.

What types of products has PLP certified as BABA-compliant?

PLP has certified various products as BABA-compliant, including COYOTE® enclosures, iron and steel products like GUY-GRIP® Dead-Ends, and other network equipment such as SLACKLOOP® Cable Storage and FIBERLIGN® Dielectric Dampers.

Where are PLP's U.S. manufacturing plants located?

PLP operates state-of-the-art manufacturing plants in Arkansas, North Carolina, and Ohio, producing thousands of components used in critical communications and power networks worldwide.