Metavation to close in October

100-plus jobs lost

By Megan Decker
Staff Writer

VASSAR — Vassar city officials received word last month that Metavation, LLC will indefinitely layoff more than 100 employees at its Vassar plants and permanently close the facilities on October 15.
According to a letter from Metavation, LLC addressed to city mayor Henry Hornung, the company will layoff 80 bargaining unit employees and 33 non-bargaining unit employees.
Metavation LLC filed Chapter 11 bankruptcy protection in late July in the U.S. Bankruptcy Court in Delaware.
According to city manager Brad Barrett, at this time, Metavation has outstanding water and sewer bills for the months of May, June and July totaling $38,291. In addition, the company’s 2013 summer tax bills had not been paid before the July 31 deadline. The city’s portion of the bills equal $49,462.
“The amount of unpaid utilities will grow each month and the city has received an order from the bankruptcy judge that prohibits the city from turning off their utilities during the bankruptcy proceedings,” Barrett added.
The company’s bankruptcy documents were sent to the city’s attorney for review and the recommendation is to retain the legal services of Clark Hill PLLC who is representing the cities of Mt. Pleasant and Hillsdale in the same proceedings, Barrett explained during the Sept. 3 city council session.
The Vassar City Council voted, during its session, to retain the firm for the purposes of representing the city of Vassar’s interest in the Metavation/Revstone Bankruptcy proceedings for a cost not to exceed $10,000.
Revstone, doing business as Metavation, purchased the former Grede Foundries Inc. in Vassar in late 2009.

Filed in: Local News, Featured Articles, Rotating Features

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