Foley plant closing its doors

New businesses could help close gap left by departure

Mobile Register

By PENELOPE McCLENNY

Staff Reporter

A spokesman for an international manufacturing corporation announced Tuesday it will close its Foley plant as early as February.

About 170 jobs at Delphi Mechatronic Systems will gradually be phased out after February, said David Bodkin, director of media relations. The plant, located on U.S. 98 just west of downtown Foley, produces circuit boards for automotive and domestic appliances, Bodkin said, such as boards for electric sliding doors on vehicles and washer and dryer circuit boards.

Many of the jobs now performed in Foley will move to plants in Asia and Mexico, Bodkin said. The corporation cites reduced sales, global competition and the phasing out of some products as reasons for closing the operation.

"The reduced sales and the phasing out of customer products had an adverse impact on the plant's profitability," he said.

The company produces an annual local payroll of about $12.5 million, Bodkin said. Worldwide, Delphi Corp. employs about 186,000 workers at 170 manufacturing plants, he said.

Lance LaCour, director of the Baldwin County Economic Development Alliance, a group that works to attract industry to the area, said the company's closing represents a significant economic loss to the area. Several other industries are considering locating in Baldwin County and could fill the gap, he said, although he declined to elaborate on what types of industry they may bring.

"We have some good projects in the works ... that will potentially provide upwards of 100 jobs or more," LaCour said. "We're hoping we can turn this into a positive situation."

Bodkin said the corporation's decision is not based on the quality of the local work force.

"We have had a very good and cooperative relationship with the union and the work force in Foley, but unfortunately the global competitive pressure made it necessary to consolidate our manufacturing facilities to reduce our overall operating costs," he said.

LaCour said he is working with Delphi officials on the sale or donation of the building, which could be useful to other companies.