Former Chrysler Plant Won't Be Repurposed

Former Chrysler Plant Won't Be Repurposed

The "old" pre-bankruptcy Chrysler Corp., now known as Old Carco LLC, got $45.5 million to sell one of its soon to be permanently shuttered factories in Ohio to a company that hoped to resell the plant to a new user or multiple users, but the Associated Press reports the effort was unable to attract any new operations for the plant.

Old Carco sold the metal-stamping plant in Twinsburg, Ohio, to Maynards Industries Ltd. of Vancouver, BC, Canada, but the AP said the liquidation company has been unable to attract new businesses to the site and that it will auction the plant's equipment and other assets after it closes, as scheduled, at the end of the month.

The Twinsburg stamping plant has gone from employment of about 1,000 to less than 300, and all will be laid off except for 77 workers who will stay until the end of July. Like the "old" General Motors Co., which also stayed behind after GM went through a quick bankruptcy last summer, the former Chrysler has sold or is attempting to sell many former assembly plants or other smaller manufacturing operations the new, pared-down Chrysler no longer needs. The proceeds are to be allocated to creditors of the former Chrysler.

Bill Visnic:  is an AutoObserver Senior Editor. Follow @AutoObserver on Twitter