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Fiber World

Performance Fibers To Scale Back N.C. Capacity

In order to match competitive production capacity to industry and customer demand, Performance Fibers Holdings Inc. will reduce manufacturing capacity at its Moncure and Salisbury, N.C., plants. The timetable and the number of affected employees are still being determined.

“It is essential that our manufacturing footprint in North America aligns with the needs of our customers and the areas where they see us as providing the most value, while also being cost-effective and profitable long-term,” said Gregory S. Rogowski, CEO. “These decisions are very difficult for us to make, but to remain competitive and viable, these actions are necessary, and will make us a stronger company going forward.”

Factors playing into Performance Fibers’ reduction strategy include increased competition from suppliers, especially in Asia; increasing energy, operating and raw material costs; and customer restructuring.

The company will maintain current operations at its facilities in Shelby, N.C.; Winnsboro, S.C.; and Mexico.

May/June 2008