The former Triangle Wire & Cable is closing in on its ninth life. The one time poster child for Rhode Island’s shrinking manufacturing base is now owned by Superior Essex, an Indiana-based company that just three months ago said it would be shutting the doors of the Pawtucket facility – for good.
But instead of shutting the plant and its 180 jobs down, cat-like survivor Superior Essex has reached an agreement to sell the operation to a newly formed corporation, headed by Gary J. MacDonald and Herbert B. Stern. The sale marks yet another chapter in the saga of a wire and cable company that has seen its share of ups, but mostly downs during the last decade.
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Those downs began to reach a peak back in April 1995. The news coming out of Triangle Wire & Cable was not good.
The company announced plans to phase out a manufacturing operation in Jewett City, Connecticut. Triangle officials said the phase-out was part of an effort to cut down on redundancies and improve operating efficiencies. The 130 people working out of corporate offices in Lincoln and 350 plant workers in Pawtucket were safe.
But it would only get uglier.
By the fall of 1996, Triangle workers were on strike – precipitating a lockout by management.
Hundreds of jobs were in jeopardy. Along the way, many would be lost. In the next chapter in the saga, Triangle sold out to the Indiana-based Essex Corporation, but employees were given no promises of job security. As the years passed, job losses continued.
The ensuing years held only more turmoil for a company that had endured four ownership changes within 10 years after 1985.
Triangle Wire & Cable — a company that at one time enjoyed $400 million in annual sales — was formed in early 1992 through the merger of four wire and cable companies, including Rhode Island’s Royal Electric Co. The other companies involved were American Metal Moulding of Edison, New Jersey, Triangle PWC, of New Brunswick, New Jersey and Westwire of Phoenix. Triangle PWC, which gave its name to the newly formed company, traces its roots to its founding in 1916.
The four-company merger not only rescued the financially troubled Royal Electric Co., but established Triangle as one of the largest producers of building and residential wire in the United States and Canada. Its products were manufactured primarily for the construction industry.
Fast forward to June of 1999 and the company’s latest owner – Superior Essex – has delivered more bad news. The 180 employees left in the Pawtucket plant received notice that the facility would be closing its doors on Sept. 30, 1999. It was yet another crushing blow to a demoralized workforce.
U.S. Congressman Patrick J. Kennedy, who had worked to protect unionized workers at the manufacturing facility since 1996, was incensed at news of the impending closure. He let his feelings be known in a June 30 letter to Steven S. Elbaum, chairman and chief executive officer of Superior Telecom, Inc., the company’s parent.
In part, Kennedy’s letter read: “Well it may be fine to streamline your company, but don’t streamline the lives of these hard-working individuals, many of whom have been employed by the company for decades. Please show some consideration to these dedicated workers who are the innocent victims of this “cost-effectiveness” decision.”
The pressure from Kennedy apparently paid off.
In August, Elbaum informed employees that he had scrapped plans to close the facility.
As part of the sale to MacDonald and Stern, Superior Essex will enter a supply agreement, meaning the company will continue to offer customers products that are produced in Pawtucket.
“The sale is a positive development because it not only supports our previously announced strategy to sharpen our focus on our core building and industrial wire products, but it should maintain operations and jobs in Pawtucket,” Elbaum said.
MacDonald and Stern are no strangers to the industry.
MacDonald is chief executive officer of Spectrum Wire Corporation, in East Longmeadow, Mass., a manufacturer of low voltage applications of data, voice and signal wire. Stern is the former senior vice president of manufacturing and chief operating officer of Carol Cable, a leading brand name in the retail cordset and electronics market.
Kennedy said through a prepared statement that he was especially pleased that the new owners have a knowledge of the Blackstone Valley area and its workforce. Kennedy said he hoped to meet with the new owners.
“I am delighted that the future is now much brighter for the dedicated employees of Superior Essex, many of whom have endured several ownership changes and nerve-racking job uncertainties in recent years,” Kennedy said. “I am grateful that the owners of Superior Essex changed their minds about padlocking the doors and worked out this agreement.”
The sale of Superior Essex is expected to be completed by the end of next month. Terms were not released.
