Constar International Closing Two Facilities

PET bottle maker attributes the decision to declines in sales.

Constar International Inc. has announced that it is consolidating its plant operations and laying off several hundred employees. The moves are being taken because of what it calls production declines across the company’s product lines.

Constar, headquartered in Philadelphia, is a supplier of PET plastic containers, that, according to its website uses recycled content in some of its prdoucts. The company operates more than 10 facilities in the United States and Europe.

In an announcement made in early October, the company says that it will close its Orlando, Fla., and Kansas City, Kan., facilities. Constar expects to lay off around 250 employees as part of the move to streamline its operations.

"In light of volume declines and in an effort to better serve our customers, we concluded that consolidating plant operations would have a meaningful impact," says Grant Beard, Constar's president and CEO. "Decisions like these are not taken lightly, however, as they have impact on our employees and their families. In this case, the Orlando and Kansas City plant employees have been an important part of Constar's heritage, and we thank all of them for their time and dedication."

The Orlando facility is expected to close at the end of 2010 while the Kansas City plant is expected to close in the first quarter of 2011.

In an unrelated announcement, Constar also has announced two senior level appointments. The company has named George Caplea executive vice president of Global Business Development, and Joseph Bione has been named acting executive vice president of Operations.