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January 17, 2007
FORT PAYNE, AL. - DeSoto Mills of Fort Payne has begun laying off employees as the plant prepares to cease operations.
Atlanta-based Russell Corporation, which owns the mill, announced the plant will shut down sometime this month and its 220 workers will be terminated. The company said the mill's finishing and support operations should be closed by March 31st.
DeSoto Mills Manufacturing Director Kenneth Blackwell said the plant began its first string of layoffs last Friday. A Russell official said employees have known about the closing for more than a year.
Meanwhile, Plastex Extruders is closing its Fort Payne plant after selling parts of sister company last October. The plant, which employs 22 people, is scheduled to close its doors by the end of the month.
Plastex manufactured strapping used in the packaging and shipping industries.
The state Department of Industrial Relations said employees may qualify for benefits through the U-S Department Labor.
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