DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-56,389
COATS AMERICAN, INC.
A DIVISION OF COATS NORTH AMERICAN
SEVIER PLANT
MARION, NORTH CAROLINA

TA-W-56,389A
COATS AMERICAN, INC.
A DIVISION OF COATS NORTH AMERICAN
EL PASO DISTRIBUTION CENTER & CUSTOMER SERVICE CENTER
EL PASO, TEXAS

TA-W-56,389B
COATS AMERICAN, INC.
A DIVISION OF COATS NORTH AMERICAN
SPARKS DISTRIBUTION CENTER
SPARKS, NEVADA

TA-W-56,389C
COATS AMERICAN, INC.
A DIVISION OF COATS NORTH AMERICAN
OLD FORT TRANSPORTATION & DISTRIBUTION CENTER
OLD FORT, NORTH CAROLINA

Certification Regarding Eligibility
To Apply for Worker Adjustment Assistance and
Alternative Trade Adjustment Assistance

In accordance with Section 223 of the Trade Act of 1974 (19 USC
2273), as amended, the Department of Labor herein presents the
results of an investigation regarding certification of eligibility
to apply for worker adjustment assistance as a secondarily affected
worker group.
In order to make an affirmative determination and issue a
certification of eligibility for secondary workers to apply for
Trade Adjustment Assistance, the group eligibility requirements of
paragraph (b) of Section 222 of the Trade Act, as amended, must be
met. It is determined in this case that the requirements of (b) of
Section 222, as amended, have been met.
The investigation was initiated on January 25, 2005 in
response to a petition filed by a company official on behalf of
workers of Coats American, Inc., Sevier Plant, Marion, North
Carolina (TA-W-56,389); El Paso Distribution Center and Customer
Care Center, El Paso, Texas (TA-W-56,389A); Sparks Distribution
Center, Sparks, Nevada (TA-W-56,389B) and Old Fort Transportation
and Distribution Center, Old Fort, North Carolina (TA-W-56,389C).
The workers at the Sevier plant produce finished thread. The
workers at the three other facilities are involved in distribution
operations.
The investigation revealed that the Sevier plant acts as a
downstream producer of finished thread for manufacturers of
unfinished grey thread.
Evidence revealed that Coats American, Inc., Marble, North
Carolina to whom the petitioning workers' firm or subdivision acts
as a downstream producer, employed a group of workers who received
a certification of eligibility for trade adjustment assistance
based on a shift in production to Mexico, and the downstream
production is related to the article (grey sewing thread) that was
the basis for such certification. The subject firm's employment
declined, in part, because of the shift in production. Workers of
Coats American, Inc., Marble, North Carolina were certified as
eligible to apply for Trade Adjustment Assistance on August 11,
2004 (TA-W-55,322).
The subject firm's three non-production facilities identified
above directly supported manufacturing operations at the Sevier
plant.
In addition, in order for the Department to issue a
certification of eligibility to apply for ATAA, the group
eligibility requirements of Section 246 of the Trade Act must be
met. The Department has determined in this case that the
requirements of Section 246 have been met.
A significant number of workers at the firm are age 50 or over
and possess skills that are not easily transferable. Competitive
conditions within the industry are adverse.
Conclusion
After careful review of the facts obtained in the
investigation, I determine that workers of Coats American, Inc.,
Sevier Plant, Marion, North Carolina; El Paso Distribution Center
and Customer Care Center, El Paso, Texas; Sparks Distribution
Center, Sparks, Nevada and Old Fort Transportation and Distribution
Center, Old Fort, North Carolina qualify as adversely affected
secondary workers under Section 222(b) of the Trade Act of 1974, as
amended. In accordance with the provisions of the Act, I make the
following certification:


"All workers of Coats American, Inc., Sevier Plant, Marion,
North Carolina; El Paso Distribution Center and Customer Care
Center, El Paso, Texas; Sparks Distribution Center, Sparks,
Nevada and Old Fort Transportation and Distribution Center,
Old Fort, North Carolina who became totally or partially
separated from employment on or after January 21, 2004,
through two years from the date of certification are eligible
to apply for adjustment assistance under Section 223 of the
Trade Act of 1974, and are also eligible to apply for
alternative trade adjustment assistance under Section 246 of
the Trade Act of 1974."
Signed at Washington, D.C., this 1st day of March 2005.

/s/ Richard Church
__
RICHARD CHURCH
Certifying Officer, Division of
Trade Adjustment Assistance