Tobacco Company Closes Danville Processing Plant

Source from:  Jack Garrett, WBTM DANVILLE, Va. (AP) 12/14/2005

Universal Leaf North America has closed its tobacco processing plant in Danville. The Southern Processors plant was shuttered at 10 a-m today, eliminating 77 full-time jobs and 325 seasonal positions. Southern Processors completed a 30-(m)-million-dollar expansion of the Danville plant just three years ago, adding 38 jobs. Karen Whelan, vice-president of Richmond-based Universal Leaf, says the company will consolidate all of its U-S flue-cured and burley leaf processing at its plant in Nash County, North Carolina. That factory opened in August 2003. Whelan blamed the closing on an oversupply of leaf and sharp declines in domestic production. The decision comes less than a year after Dimon (DYE'-mon) closed its tobacco processing operations in Danville. Enditem