DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-57,238

REITER GREENSBORO, INC.
GREENSBORO, NORTH CAROLINA

TA-W-57,238A

REITER CORPORATION
SPARTANBURG, SOUTH CAROLINA

Negative Determination 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 an adversely affected
secondary group.
An investigation was conducted in order to determine whether
the petitioning group of workers qualify as adversely affected
secondary workers as suppliers of component parts to a firm or
subdivision primarily affected by increased imports or a shift of
production abroad.
In order to make an affirmative determination and issue a
certification of eligibility to apply for adjustment assistance,
the following group eligibility requirements under Section 222(b)
must be met:
(1) a significant number or proportion of the workers in the
workers' firm or an appropriate subdivision of the firm
have become totally or partially separated, or are
threatened to become totally or partially separated;

(2) the workers' firm (or subdivision) is a supplier or
downstream producer to a firm (or subdivision) that
employed a group of workers who received a certification
of eligibility to apply for trade adjustment assistance
benefits and such supply or production is related to the
article that was the basis for such certification; and

(3) either-

(A) the workers' firm is a supplier and the component
parts it supplied for the firm (or subdivision) described
in paragraph (2) accounted for at least 20 percent of the
production or sales of the workers' firm; or

(B) a loss of business by the workers' firm with the firm
(or subdivision) described in paragraph (2) contributed
importantly to the workers' separation or threat of
separation.

The investigation was initiated on May 23, 2005 in response to
a petition filed by the company on behalf of the workers of Reiter
Greensboro, Inc. Greensboro, North Carolina and Reiter Corporation,
Spartanburg, South Carolina. The workers at the subject plants
produce textile machinery and spare parts for an unaffiliated firm
that produced yarn.
The investigation revealed that criterion (2) has not been
met.
Petitioners allege that job losses were due to their firm
losing business as a supplier to a firm that shifted production
abroad or was affected by increased imports. The investigation
revealed, however, that was not the case.
The textile machinery and spare parts produced by the subject
facilities are used for the production of articles (yarn), but they
are not component parts for the yarn that was the basis for a
certification of eligibility of a group of workers producing yarn.
The subject firm is therefore not a "supplier" as defined in the
Trade Act of 1974 as amended.
Sales of the subject firm increased in the relevant time
periods, 2004 compared with 2003, and January through May, 2005,
compared with the same period one year earlier.
In addition, in accordance with Section 246 the Trade Act of
1974 (26 USC 2813), as amended, the Department of Labor herein
presents the results of its investigation regarding certification
of eligibility to apply for alternative trade adjustment assistance
(ATAA) for older workers.
In order for the Department to issue a certification of
eligibility to apply for ATAA, the worker group must be certified
eligible to apply for trade adjustment assistance (TAA). Since the
workers are denied eligibility to apply for TAA, the workers cannot
be certified eligible for ATAA.
Conclusion
After careful review, I determine that all workers covered by
this petition of Reiter Greensboro, Inc. Greensboro, North Carolina
and Reiter Corporation, Spartanburg, South Carolina do not qualify
as adversely affected secondary workers and are denied eligibility
to apply for adjustment assistance under section 223(b) of the
Trade Act of 1974, and are also denied eligibility to apply for
alternative trade adjustment assistance under Section 246 of the
Trade Act of 1974.
Signed at Washington, D.C., this 8th day of July 2005

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