November 15, 2024
Business

Kent Inc. workers hopeful plant can be saved

FORT KENT – Employees of Kent Inc. on Sunday still had many questions, but most agreed they were more optimistic about their future than they were five or six days ago when they were told their plant might close.

Their hope, they said, rose after Friday morning’s meeting between owners of the company and government officials, and their own meeting with owners Friday afternoon. A meeting Sunday with state Sen. John Martin, D-Eagle Lake, lasted nearly 90 minutes.

“There is hope, right,” Debbie Toussaint, an employee from Frenchville, said. “We need to know, and we need to stay positive during this time.

“We need to be positive in our work, and continue what we have been doing at work,” she told fellow employees. “We just need to do that.”

Many of the employees were worried about the loss of medical coverage if the plant closes.

Kent Inc., where between 165 and 185 people work making children’s wear, announced Tuesday that financial problems could close the plant as soon as November if investors were not found. They said they needed $4 million in new revenue, about $2 million from investors and $2 million in loans.

A possible solution was started Friday with $1.2 million in federal and state money. Money could come from an equity fund through the Northern Maine Development Commission and the Aroostook Empowerment Zone and Community Development Block Grant money from Augusta.

Another $800,000 would be needed from other investors and $2 million in loans from lending institutions.

More than 125 employees attended Sunday’s session with Martin at Community High School in Fort Kent.

Martin said he wanted to hold the session to let employees know how the situation arose, what occurred Friday, and how the state can help if the plant did close.

State legislators, according to Martin, found out about the possible closing in newspaper reports Wednesday morning. He blamed company owners for that, since they have said they have been in financial trouble and have sought to recapitalize the company since January.

He said the town and the Maine Department of Labor also had not been notified.

“No one wants to see this plant closing,” he said. “There is no question in my mind that the situation is really serious.”

Martin said the company has been helped from the start in 1996 with local, state and federal loans and grants. That included $2.5 million from the Libra Foundation, he said.

“Whatever I know, you will be told,” Martin said. “It’s your future, and you are the ones with the most to lose in this situation.

“Starting Monday everyone’s goal is to keep the plant operating,” he said. “We have six to eight weeks to make this work.”

Rep. Marc Michaud, D-Fort Kent, said he has been assured that any state money going to the plan to restructure Kent Inc. would remain in Fort Kent.

Martin urged employees not to believe rumors.

He admitted he felt better about the situation after Friday’s meeting. He cautioned that the deal brokered there was not a done deal, but it looks good.

Questioned by employees, Martin said no one has seen the company’s financial statements. That will take place this week, but only with agencies that will be looking at investing capital into the company.

“Where is the money going? one woman asked. “Will it always be like this, them asking for more money?”

Martin said he didn’t have the answer, and that only the owners could answer the question.

He also told employees that anyone who loses their job has benefits coming from the state and federal governments. He said a Rapid Response Team will be set up by the state to assist employees, whether it is all employees or 15 or 20 who could lose their positions through a company restructuring.

Kevin DuBois, plant manager, told employees at the meeting that restructuring will mean the company will be buying children’s wear from overseas because it can be made cheaper there.

He said a type of clothing known as blanket sleepers would be manufactured in Fort Kent alone.

He said some sleep and play wear still would be manufactured at Fort Kent because some companies buy only U.S.-made clothing.


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