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Columbus textile company files for bankruptcy

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Posted 3:51PM on Wednesday 5th February 2003 ( 22 years ago )
COLUMBUS - Johnston Industries Incorporated filed for Chapter Eleven bankruptcy protection, saying it was caught in a severe downturn facing U.S. textile manufacturers. <br> <br> The 33-year-old company, headquartered in Columbus, filed its Chapter Eleven petition Friday in U.S. Bankruptcy Court for the Middle District of Georgia. <br> <br> Company officials said they hope to reorganize, phasing out production of inexpensive fabrics and concentrating instead on high-end weaves for industrial and automotive customers. <br> <br> Johnston recently cut back production at its Opp and Micolas mills in Opp, Alabama, reducing its work force there by 200 people. <br> <br> That leaves about 1,500 Johnston employees overall, including several hundred at its Southern Phenix Textiles plant in Phenix City, Alabama. <br> <br> CEO and executive vice president James Murray offered no timetable for the company&#39;s reorganization and would not say whether the company will cut more workers or shut down any of its eight mills in Alabama and Iowa.

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