Both companies site deteriorating market conditions, lack of ability to get more financing as reasons for closing operations
(Orville, Ohio) – Vinyl window and patio door manufacturer American Weather Seal will close its Dairy Lane plant here effective immediately, a move that will affect about 100 workers. In a letter to the state of Ohio, company officials said the decision to close was a result of “deteriorating market conditions with no foreseeable improvement in sight.”
Officials said giving advance notice would have prevented the company from getting an infusion of capital to continue operations. “Unfortunately, the company was unable to obtain the needed capital,” the letter said.
American Weather Seal is owned by Iowa-based Monarch Holdings Inc.
Not too far away, the VEKA Innovations plant in Youngstown will be closing. The plant makes PVC profiles and accessories for fabricators of the vinyl fence and railing industry, according to its posting on an industry association Web site.
In a letter to the state of Ohio, Pennsylvania-based VEKA Holdings Chief Operation Officer Charles Spaulding said the layoffs will start September 25 and finish by November 8. Spaulding said the plant was causing substantial financial loses for the company and that its bank informed them it would not extend credit if the losses continued.
Bargaining unit employees at the VEKA plant in Youngstown are represented by United Steel Workers.
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