Despite rumors circulating on social media that Stafford’s American Woolen Co. on Furnace Avenue has shut down, CEO Jacob Harrison Long said this week that he is in the process of finalizing a deal that will keep the operation afloat.
“We have had a few issues with the mill restart after the COVID-19 shutdown in April, but I believe that it is all under control,” Long told the Journal Inquirer, adding that workers were laid off after “a potential deal with a strategic partnership fell through in July” but that “things are moving forward,” and the company intends to bring staff back soon.
Long would not comment on the details of the mill’s troubles, how many workers were laid off, or how many would be brought back. However, he said he believes a solution would be reached by the end of the long holiday weekend.
In late June, the company housed in the 167-year-old former Warren textile mill announced it had secured $2 million from the federal government to provide polyester and wool-blend fabric for new U.S. Army dress uniforms.
The money came from the CARES Act, a $2 trillion relief package intended to provide relief amid the novel coronavirus pandemic, and was intended to allow the mill to continue production during the recent economic downturn. In June, Long said the funding would allow the company to make “critical investments required to strengthen its value proposition.”
U.S. Rep. Joseph D. Courtney, whose congressional district includes Stafford, said at the time that the money would “keep production of U.S. Army uniforms here at home, in eastern Connecticut.”
Courtney, D-2nd District, said early today that he has been in touch with Long, who told him the layoffs were the result of the pandemic’s impact on the clothing sector. He added that his office has been working with Long on other options for small business assistance, as “the CARES Act has run its course” for many businesses who received assistance months ago, including American Woolen.
Courtney also said rumors of a complete shutdown, even temporarily, are not true based on his conversations with Long.
“He has other irons in the fire and is so passionate about that facility that I would never underestimate him,” Courtney said.
“The military contract is viewed as a stable, base-level of revenue for American Woolen, but was never intended to be a sole source or sole customer,” he said, adding that Long “has always had the goal of a diverse customer base that’s both public and private.”
American Woolen Co. purchased the historic mill, which was most recently owned by Italian clothier Loro Piana, in 2014. The company inked a contract with the U.S. Department of Defense in 2018 to weave fabrics for new “Army Greens,” formal, non-combat uniforms to be worn in more professional settings, though it did not disclose the value of the contract or when it planned to complete the order.
