Overseas competition is blamed for likely closure of East Tennessee textile plant, in Lenoir City by end May, 2006.
Value Line Textiles Inc, founded in 1992 and employing 85 workers, manufactured socks mainly for Mountain High Hosiery in California, which had a license to produce Tommy Hilfiger brand apparel.
John Stevens, company owner blamed the closure due to growing imports of foreign-made socks by local manufacturers as well as retailers, which reduced the demand and weakened the prices of locally made socks.
James Reagan, General Manager, said layoffs will start in the next three to four weeks, however, he was unable to say about the future of the 90,000-square-foot plant.
Reagan expects workers to seek job training opportunities through government financial support provided.
He declined to comment on whether workers would receive a separation package.
marketing@alchempro.com
