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December 03, 2020 07:30 AM

Bates Rubber closing in Tennessee

Bates Rubber closing in Tennessee

Jim Johnson
Rubber & Plastics News Staff
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    LOBELVILLE, Tenn.—A Tennessee rubber operation is closing its doors in the weeks ahead but offering continued employment to workers at another company facility.

    A total of 92 workers are impacted by the decision.

    Bates Rubber Co. Inc. told Tennessee officials the Lobelville location will close permanently effective Jan. 25 "with all separation complete by April 30," the state Department of Labor and Workforce Development said in a memorandum.

    "All employees were offered a transfer," the memo states. Tennessee learned of the permanent closure on Nov. 30.

    Earlier this year, Bates briefly laid off staff for a week during the beginnings of the COVID-19 crisis.

    The operation is part of suburban Cleveland-based Park-Ohio Holdings Corp., which acquired the facility in 2013.

    At that time, Rubber & Plastics News indicated Bates makes extrusion, formed and molded products including air and fluid transfer hoses and assemblies. The company also manufactures emission management subsystems, thermoplastic hose and molded components and gaskets for the transportation and industrial markets.

    Park-Ohio had high hopes for the Bates acquisition. "Bates is another example of a look-alike acquisition that fits with Park-Ohio's current goal of growing its three business silos," then CEO Edward F. Crawford said at the time. Crawford resigned as CEO last year to become U.S. ambassador to Ireland.

    Bates, at the time of the acquisition, had been in business for more than 40 years and Park-Ohio expected annual revenues from the location to exceed $45 million at that time.

    Current CEO Matthew Crawford could not be immediately reached for comment Dec. 2.

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