NEW YORK — A hefty write-off helped drive Dan River Inc. $103.5 million into the red in its third quarter, the company said Tuesday, while also announcing a pair of plant closings that would reduce total head count by about 243.
This story first appeared in the November 12, 2003 issue of WWD. Subscribe Today.
The company said it plans to close an apparel fabrics weaving facility in Sevierville, Tenn., that employs 417, and a home fashions distribution center in Juliette, Ga., that employs 27, over the next two to three months. The looms from Sevierville will be moved into vacant space at the company’s Danville, Va., facility, where the company expects to add another 200 jobs, according to Denise Laussade, vice president of finance.
After the cuts and additions, total head count will stand at about 4,800, she said.
The net loss, which included a $91.7 million goodwill write-off, compared with $4.7 million in net income a year earlier. Sales for the quarter ended Sept. 27 were $103.7 million, down 29.6 percent.
The company’s apparel fabrics unit reported an operating loss of $3.2 million, compared with operating income of $1.7 million a year earlier. Sales were down 34.3 percent to $20.5 million.