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Hood Industries will permanently close its plywood manufacturing facility in Wiggins, Mississippi, ending operations at the mill by the end of August after determining that storm-related damage and the facility’s age made restoration economically unviable.
The company announced the decision July 6 during facility-wide meetings with employees. Approximately 260 employees will be affected by the closure.
According to Hood Industries, the decision followed a comprehensive assessment of the extensive damage caused by Tropical Storm Arthur. Company President Jay Galloway said the combination of storm damage and the age of the 56-year-old facility made the investment required to restore the mill unsustainable.
“After a thorough assessment, we determined that the damage caused by the recent storms, combined with the age of our 56-year-old facility, would require an investment that is not economically feasible,” Galloway said. “As difficult as this decision is, repairing and restoring the mill is not a sustainable option. We have made the decision to close the mill.”
The Wiggins plywood mill was originally built in 1970 and became part of Hood Industries in 1984. It has since operated as the company’s second plywood manufacturing facility and its largest plywood operation.
Company officials will meet individually with affected employees over the coming days to discuss the transition and provide information about employment opportunities at other Hood Industries locations.
“This was not an easy decision for us to make,” Galloway said. “We are well aware of the impact this decision will have on the Wiggins employees, their families and community.”
The company expects manufacturing operations to conclude after remaining inventory is processed, with the mill scheduled to cease production by the end of August.
Tropical Storm Arthur brought heavy rain, historic flooding and damaging winds to portions of the Guld Coast in June, impacting businesses and infrastructure across southern Mississippi.