Solid waste equipment manufacturer McClain Industries, Sterling Heights, Mich., is bringing in additional help to remedy recent financial woes.
The company has hired Grant Thornton to help sell its noncore businesses. The cuts reflect the company's efforts to reorganize after experiencing challenges during the past few years.
In September 2002, McClain closed its Macon, Ga., plant and auctioned off the majority of the equipment. At the end of fiscal 2002, the company's net sales were down 20 percent from the previous year, and in December 2002, the company delisted from the Nasdaq small cap market.
Coupled with the resignation of Ronald Biggs, Walter Kirchberger and Raymond Elliott from McClain's board of directors, the company's financial status is driving it to concentrate efforts primarily on the production of bins, compactors and lifters.
At press time, Clean Earth Kentucky, Cynthiana, Ky., had an agreement in principle to acquire some assets of McClain's E-Z Pack refuse body business. Similar transactions are likely to follow.
Next year, the company plans to eliminate approximately 150 jobs.