Excello Engineered Systems closing Macedonia site, ending 127 jobs (OH)

[OhioChick]

April 29, 2008 19:09PM

Excello Engineered Systems said Tuesday it will close its Macedonia headquarters and auto-parts factory by May 30, ending jobs for 127 workers.

The company, which makes plastic film and foam water-seal products used in car doors, filed for Chapter 11 bankruptcy protection in Summit County on Friday, according to Terry Gabet, Excello's controller. Gabet said he, too, will lose his job and does not know what he will do next.

The company "has been in here for many, many years," Macedonia Mayor Don Kuchta said. The closing will cost the municipal budget as much as $100,000 in lost annual tax revenue. It also will mean the end of employment for 97 members of the Production Workers union, Local 148, and 30 office and salaried workers.

Gabet said two of the three principal automotive customers for the company's products, Honda and Toyota, agreed to contribute to a fund for the displaced workers, providing them their vacation and some severance pay in an amount to be determined.

The third and biggest customer, Ford, declined to contribute to the fund, he said late Tuesday. Sales to Ford accounted for 45 percent of the company's business. Honda's and Toyota's orders, together, according to Gabet, comprised about a third of Excello's production.

http://blog.cleveland.com/business/2008/04/excello_engineered_systems_clo.html