From an article in The Roanoke Times
The parent company of Excel Homes of Virginia, a manufacturer of modular homes in Franklin County, VA also known as Mod-U-Kraf Homes, has closed, eliminating from 150 to 219 jobs in Rocky Mount, according to a filing with the state.
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| Mod U Kraf Factory in Rocky Mount, VA |
Innovative Building Systems filed notice with Virginia officials May 3 that it would begin terminating workers as early as May 3 and ending by May 13 at the plant located at 260 Weaver St. in the Franklin County-Rocky Mount VA Industrial Park.
The company “has been unable to obtain the necessary financing to continue its operations or negotiate a successful sale of the company to a going concern,” according to the letter filed to meet requirements of the Worker Adjustment and Retraining Notification Act.
Innovative Building Systems and its affiliates in several states, including Virginia, intend to file Chapter 7 bankruptcy, the letter stated. Chapter 7 usually leads to liquidation of a company.
Dan Hobbs, general operations manager for Excel Homes of Virginia, said the Rocky Mount company has been doing well, and that the financial problems rest solely with the parent company.
The company’s filing indicated 219 jobs would be eliminated. Hobbs said the number is closer to 150.
“This facility here in Virginia has been profitable for the last five quarters — for each quarter in 2015, as well as the first quarter of 2016,” Hobbs said. “The financial difficulties of Innovative Building Systems come from some factors outside of Virginia.”
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