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Turnersburg plant to close doors(Statesville Record & Landmark Via Acquire Media NewsEdge) Jan. 8--The weakened carpet market and the loss of a major fiber supplier were major factors in Gulistan Carpet's decision to close its Turnersburg plant in February. About 120 people are expected to lose their jobs when the carpet yarn plant closes its doors Feb. 28. "It is just the overall state of the economy," plant manager Frank Wells said. Peter Kruyer, the company's chief financial officer, said the plant only made staple carpet yarn when the company purchased the plant years ago. "Over the past several years, the overall demand for carpet made out of staple fiber has declined," Kruyer said. The company moved some of its filament yard equipment from its main facility in Aberdeen, but it wasn't enough to keep the plant open after it lost its primary supplier of staple nylon, he said. "We were losing a significant amount of money at that facility because there wasn't enough demand for staple carpet," he said. "There is not enough demand overall to just do filament yarn at that facility." Sales had declined for some time, Wells said, adding that employees knew the plant would eventually close. They just didn't know it would be this soon, he said. "It was really hard," he said. Kruyer said company officials are working with the N.C. Department of Commerce's Rapid Response team to coordinate local resources and provide retraining opportunities for the employees. Kruyer said employees who stay through February will receive severance packages. Iredell County Commission Chairman Godfrey Williams said the plant closing was another unfortunate sign of the building industry collapse. "I'm sorry to hear it," he said. "There has been people who have been there for some time. I know of people who have been there all their lives." To see more of the Statesville Record & Landmark or to subscribe to the newspaper, go to http://www.statesville.com. Copyright (c) 2009, Statesville Record & Landmark, N.C. Distributed by McClatchy-Tribune Information Services. For reprints, email [email protected], call 800-374-7985 or 847-635-6550, send a fax to 847-635-6968, or write to The Permissions Group Inc., 1247 Milwaukee Ave., Suite 303, Glenview, IL 60025, USA. |