CXT to close Grand Island plant, nearly 70 jobs in jeapardy

The Grand Island Independent reports that CXT Inc., a subsidiary of L.B. Foster Co., has informed employees that it will close the Grand Island production facility located at 710 E. Highway 30. The plant opened in 1998 and employed 67 workers. Grand Island Area Economic Development Corp. President Marlan Ferguson said he was contacted about the closure last week and immediately met with company officials to see "what can we do to keep them." "We never like to see businesses close --manufacturing or anything else," Ferguson said. "But in this case the decision was made at the corporate level and that's something we can't do a whole lot about." CXT had a sole contract to produce concrete railroad ties for Union Pacific. The Grand Island production plant is located on Union Pacific ground, Ferguson said. "It was basically a decision by U.P. not to continue," Ferguson said. "There's not much we could do to keep them here." When it was learned no incentives or work could save the jobs, Ferguson worked with Nebraska Workforce Development to help employees in an effort to keep them in Grand Island. The employees were told layoffs will begin in the next 10 to 14 days and be staggered over the next six months as local workers are used to dismantle the plant, Ferguson said. Employees were also told about unemployment insurance, severance, job training and possible other jobs in the Grand Island area. "There are opportunities for all those folks to stay in the community," Ferguson said. "Other companies are hiring." The CXT closure is disheartening on many fronts, Ferguson said. CXT plans to take all of its equipment purchased in the upgrade and relocate it to other plants, Ferguson said. He's not yet sure if UP will utilize the plant for another purpose. Ferguson said the production work done by CXT in Grand Island was impressive. It's work that affected other industries, so the shutdown now may have the same effect. "It is unfortunate to lose the presence of a national company, but we feel confident that the employees will be well taken care of and find emplacement in the community," Ferguson said.