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C&Amp;A to Close Plastics Tooling Plant

Posted on: Wednesday, 14 December 2005, 21:00 CST

By Jason Roberson, Detroit Free Press, Detroit Free Press

Dec. 14--Collins & Aikman Corp., a Troy-based supplier of auto-interior features, announced plans Tuesday to close its tooling operation in Sterling Heights by March 31 to catapult reorganization while in bankruptcy.

Company officials met Monday with employees and customers to announce the plan.

The Sterling Heights factory has 140 employees who fabricate tooling for molded plastic products. C&A spokesman David Youngman said the company will stop tooling and fabrication for injection molding, including tooling for molded plastic products.

The Sterling Heights plant represents 30% of C&A's tooling and fabrication for injection molding. The other 70% is outsourced.

Youngman said Tuesday the move will help C&A better reorganize because injection molding is "extremely capital-intensive."

C&A President and CEO Frank Macher said the decision, though tough, made sense. "We deeply regret the impact this closing will have on our employees," he said. "We are fully prepared to execute this plan with no disruption of service to our customers."

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Copyright (c) 2005, Detroit Free Press

Distributed by Knight Ridder/Tribune Business News.

For information on republishing this content, contact us at (800) 661-2511 (U.S.), (213) 237-4914 (worldwide), fax (213) 237-6515, or e-mail reprints@krtinfo.com.

NYSE:CKC,


Source: Detroit Free Press

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