ECO2 Plastics Inc., a company located in the Riverbank Industrial Center at the former ammunitions plant, has laid off most of its employees and closed its existing facility with a view to moving to a different location in northern California.
"On Tuesday, Sept. 8, the Company closed its existing facility in Riverbank. A total of 47 employees were laid off and the Company has begun dismantling existing equipment. The Company currently retains a total of 11 employees. During the course of the next six to nine months, the Company will not produce products for sale as we build our new plant," indicated an official report to the US Securities and Exchange Commission, provided by the company's chief financial officer Ray Salomon.
Riverbank Director of Economic Development and Housing Tim Ogden commented city officials regret the company is closing its plant and moving elsewhere but it will not affect the city's plans to negotiate transfer of the property from the Army to the city and proposed expansion of the industrial park.
Founded in 2000, ECO2 Plastics cleans and recycles plastic using a proprietary bio-solvent instead of the large quantities of water and chemicals usually required and thus offers an environmentally superior solution at a lower cost than in traditional plants.
The process involves shredding plastic bottles and removing impurities such as dirt, scraps of metal and paper labels, cleaning glue and other residues to reclaim the plastic for another use.
The company has decided, however, it cannot achieve its production goals in the volume and purity of recycled material required because it is restricted by the size and layout of the Riverbank facility.
"On Tuesday, Sept. 8, the Company closed its existing facility in Riverbank. A total of 47 employees were laid off and the Company has begun dismantling existing equipment. The Company currently retains a total of 11 employees. During the course of the next six to nine months, the Company will not produce products for sale as we build our new plant," indicated an official report to the US Securities and Exchange Commission, provided by the company's chief financial officer Ray Salomon.
Riverbank Director of Economic Development and Housing Tim Ogden commented city officials regret the company is closing its plant and moving elsewhere but it will not affect the city's plans to negotiate transfer of the property from the Army to the city and proposed expansion of the industrial park.
Founded in 2000, ECO2 Plastics cleans and recycles plastic using a proprietary bio-solvent instead of the large quantities of water and chemicals usually required and thus offers an environmentally superior solution at a lower cost than in traditional plants.
The process involves shredding plastic bottles and removing impurities such as dirt, scraps of metal and paper labels, cleaning glue and other residues to reclaim the plastic for another use.
The company has decided, however, it cannot achieve its production goals in the volume and purity of recycled material required because it is restricted by the size and layout of the Riverbank facility.
