L.E. Smith Glass Co. of Pennyslvania, has been acquired by metal fabricating company Pittsburgh Annealing Box Co. of McKeesport, subject to bankruptcy court approval. A definitive sales agreement has …
L.E. Smith Glass Co. of Pennyslvania, has been acquired by metal fabricating company Pittsburgh Annealing Box Co. of McKeesport, subject to bankruptcy court approval. A definitive sales agreement has been signed for the Westmoreland County glass plant, about 35 miles southeast of Pittsburgh, which has produced glassware of all kinds during its 97 year history. Terms of the deal were not released. The glass plant closed down on 30 June 2004, putting 57 out of work, after high gas prices, foreign competition and a poor economy frustrated talks with a potential buyer, officials with Boston-based L.E. Smith Glass said at the time. Ohio-based Sky Bank then sued to recover USD 4.6 million that it claimed the glass plant owed because of a loan default. In mid-August 2004 a court-appointed turnaround firm brought about 30 workers back to make glass products for some core customers while the bank searched for a buyer. The new deal must be approved by a U.S. Bankruptcy Court judge, but Pittsburgh Annealing president William Kelman and Sky Bank officials were optimistic that the deal would close within 60 days. “We“re evaluating all kinds of things. But nothing is insurmountable at this stage, based on information we“ve received so far,” Kelman said. “We knew we would not get everything back that we put in, so we priced this so someone could come in, run the plant and, hopefully, prosper,” said Curtis Shepherd, senior vice president of marketing for Sky Bank. Pittsburgh Annealing Box Co. has had preliminary talks with the United Steelworkers locals that represent the L.E. Smith workers. Agreeing a new contract is a “priority” for the sale to proceed, Kelman said.