WHITE KNIGHT: The Hugo Boss plant in Brooklyn, Ohio, is getting a new lease on life. U.S. Senator Sherrod Brown will hold a press conference this morning to reveal that Keystone Tailored Manufacturing LLC, a new company created by former HMX Group chief Doug Williams, has reached a deal to purchase all assets of the plant and extend employment offers to its 169 employees. Brown arranged the first meeting between Keystone with Hugo Boss.
Under the terms of the deal, W Diamond Group — the company also operated by Williams that manufactures Hart Schaffner Marx suits — will partner with Keystone on a long-term supply agreement to produce HSM men’s suits, sport coats and trousers. It will join W Diamond’s Des Plaines, Ill., facility, which employs 450 full-time employees.
“Our business is so good, we ran out of capacity in [Des Plaines],” Williams said. “So we will move our overcapacity to Brooklyn.” Keystone manufactures 70,000 units a year, Williams said, while Des Plaines is churning out 260,000 units a year. Williams said W Diamond has been trying to add employees to its Chicago-area plant for some time, but many potential employees don’t make the cut. “So getting 170 new sewers who are excellent is a real coup,” he said.
Both the Des Plaines and Brooklyn workers will be represented by Workers United.
The plant, which was saved from closure in 2010, was scheduled to be shuttered in April.