Update: Plant Closing, but No Ch.11 for Dalton Corp.

Gray iron foundry to close Indiana plant

Dalton Corp., based in Warsaw, IN, has not filed a Chapter 11 bankruptcy claim as previously reported. According to a release from the company, Dalton parent Neenah Enterprises Inc. will close the Dalton foundry in Kendallville, IN, in early March 2009.

“The decision to close the facility was made due to the pressures of an overall weak economy and the particularly difficult economic issues facing the foundry industry and manufacturing in general,” according to the statement. While acknowledging “the outstanding efforts of the excellent workforce at the Kendallville facility,” it added its regrets about job losses at the plant and the effects on the community there.

About 200 workers would be affected by the closing, according to local news reports.

A holding of Neenah Foundry Corp. since 1998, Dalton Corp. has its main plant in Warsaw, and the second operation in Kendallville. Their total capacity is about 200,000 tons/year.

Dalton also operates a machining plant in Stryker, OH. Its products are gray iron castings ranging from 5 lb. to 600 lb., for air conditioning and refrigeration systems, automotive engines and gear boxes, stationary transmissions and heavy-duty truck transmissions.

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