World famous canning and jarring the Ball Corporation announced that they will be closing one of the company’s original packaging plants in North America. The Colorado based company said the facility will be closed by Q2 of 2016.
The plant that will be closed was originally opened in all the way back in 1971 in the city of Bristol Virginia. The facility now operates as a production output facility manufacturing can ends. The Ball Corporation says the decrease in output from the plant closing would be counteracted by other production facilities manufacturing more can ends in order to maintain numbers. 230 employees will lose their jobs as a result of the closure.
The Ball Corporation estimates that this move will cost around $19M in severance packages, employee benefits and closure costs. Most of the cost is estimated to be incurred in Q3 of 2015.
It’s an unfortunate set of circumstances for those in Bristol Virginia who are affected by this closure. The company has said that closing the plant was a difficult decision to make, but the move was necessary in order to get their manufacturing footprint under control. Ball operates in an extremely competitive industry, so let’s hope this closure isn’t a sign of thing to come for the manufacturer.