Chinese company retains most Buckhorn workers

A Chinese company that bought Buckhorn Rubber Products says it has hired 105 of the 121 workers at the Hannibal plant.
Zhongding Sealing Parts Co. Ltd. acquired Buckhorn and a similar plant in Michigan from Ohio-based Myers Industries.
Myers said final net proceeds from the sale were about $10 million.
Hannibal plant manager Freddie Burgess called the deal “very good” for Hannibal.
“It makes for a bigger and stronger company,” Burgess said. “We have a lot of good, skilled people. It really is good for the Hannibal area.”
Burgess said that the 16 former Myers Industries employees not retained by Zhongding had been working fewer than 40 hours a week after the Akron firm cut production from five days to three.
Myers announced in December 2008 that it was selling three North American plants and eliminating 200 jobs. About 25 layoffs were made at Hannibal.
Burgess said Zhongding may consider hiring back the 16 workers.
“As business grows, we would definitely be looking at qualified associates,” he said. “Some of those may fit that category.”
Buckhorn makes rubber equipment and parts for the transportation, agricultural and construction industries.
Starting Monday, the plant at 5151 Industrial Drive on the city’s southwest side will consolidate the 105 remaining workers from three shifts to one.
Burgess said employees this week were completing reorganization and cleaning of the facility.
“We have some work to do, but we came here with a dedication to make this work,” he said.
Zhongding is based in Ningguo City in the Anhui province of eastern China.
The firm, established in 1980, has 2,700 workers worldwide. It makes rubber parts for everything from cars to home appliances and construction equipment to oil seals.
“Zhongding is committed to growing its manufacturing presence in the United States, and (the Michigan and Missouri plants) are key components to the success of this growth initiative,” the company said in a statement. “We look forward to a long and successful partnership with our new team members in Cadillac and Hannibal, as well as with the surrounding communities.”
The acquisitions are “strategic for Zhongding to gain access to new markets, such as heavy truck and commercial equipment, while also strengthening relationships with existing customers in the automotive industry who are looking for suppliers with a global presence,” the statement read.
Last year, Zhongding reported net profits of $133 million, up from $120 million in 2007.
Shares of the company closed Wednesday at $13.20, down 17 cents from Tuesday but up substantially from this time last year.
Myers had been looking to sell the Hannibal facility as part of a company-wide restructuring.
Last month, Myers reported a 2009 third-quarter loss compared to a profit for the same period last year. Sales fell 17 percent.
Buckhorn was founded in 1913 by Harry Huntington in Portland, Ore.
The Hannibal plant opened as Huntington Rubber in 1977. Two years later, it was expanded and in 1982 the name was changed to Buckhorn.
Myers bought the firm in 1987 for $21.8 million. A $4 million expansion, which included 30,000 square feet on the north side of the building, was completed in the mid-1990s.