Coyne Textile Restructuring For Better?

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Coyne Textile Restructuring For Better?

Coyne International Enterprises Corp., founded in 1929 is on the trail to complete the sale of its operating units as part of the industrial laundry company's court-supervised streamlining.

Syracuse-based Coyne said it is awaiting U.S. Bankruptcy Court approval of three planned sales that it said will preserve the jobs of 525 of its 620 employees.

The company, which is also known as Coyne Textile Services, filed a notice on August 11, under the federal Worker Adjustment and Retraining Notification Act. That indicated its plans of laying off 150 workers in the central, southern, eastern and western areas of New York. However, CEO Mark Samson re confirmed that no such plan was underway.

He further informed that the filing was made to meet the technical requirements of the law because of the pending change in ownership of its facilities in New York. The planned sales undertaken by the company under this revision:

1. Prudential Overall Supply would purchase Coyne's facility in Richmond, Va., and its customer routes and equipment in Greenville, S.C., for $7.0 million.

2, Coyne Acquisition LLC ("NXT Newco") would purchase all of Coyne's remaining assets, consisting of its customer routes, equipment and facilities in Syracuse; Buffalo; Bristol, Tenn.; Cleveland, Ohio; London, Ky.; and York, Pa., for $22.5 million.

Coyne, since its initial years have grown into one of the largest privately owned industrial laundry companies in the United States. The company has however struggled to recover from the 2008 recession.