Denied
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TAW-62276  /  F.L. Smithe Machine Co. (Duncansville, PA)

Petitioner Type: Union
Impact Date:
Filed Date: 10/10/2007
Most Recent Update: 12/28/2007
Determination Date: 12/28/2007
Expiration Date:

DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-62,276

F.L. SMITHE MACHINE COMPANY
DUNCANSVILLE, PENNSYLVANIA

Notice of Negative Determination
on Reconsideration

On February 21, 2008, the Department issued an Affirmative
Determination Regarding Application for Reconsideration for the
workers and former workers of the subject firm. The notice was
published in the Federal Register on February 29, 2008 (73 FR
11150-11151).
The initial investigation resulted in a negative
determination based on the finding that imports of envelope
making machines, printing presses and related parts did not
contribute importantly to worker separations at the subject firm
and no shift of production to a foreign source occurred.
The company official of the subject firm and the
International Association of Machinists and Aerospace Workers
filed a request for reconsideration and indicated that not enough
information was supplied pertaining to printing press machines
manufactured at the subject firm. The company official provided
an additional list of customers and requested that the Department
of Labor survey these customers regarding their purchases of
printing press machines.
On reconsideration the Department of Labor surveyed these
declining customers regarding purchases of like or directly
competitive products with printing press machines purchased from
the subject firm in 2005, 2006, and during January through
September 2007 over the corresponding 2006 period. The survey
revealed that the customers did not import printing press machines
during the relevant period.
The petitioner also provided a list of foreign competitors who
allegedly are selling products at lower prices and thus negatively
impacting production at the subject firm.
The impact of foreign competitors on the domestic firms is
revealed in an investigation through customer surveys. In the case
at hand, a survey of declining customers was conducted to determine
if customers purchased imported printing press machines. The
survey is intended to determine if competitor imports contributed
importantly to layoffs at the subject firm. The survey revealed no
imports of printing press machines during the relevant period.
The subject firm did not import printing press machines nor
was there a shift in production from subject firm abroad during the
relevant period.




Conclusion
After reconsideration, I affirm the original notice of
negative determination of eligibility to apply for worker
adjustment assistance for workers and former workers of F.L.
Smithe Machine Company, Duncansville, Pennsylvania.

Signed at Washington, D.C. this 17th day of March, 2008.

/s/ Elliott S. Kushner


ELLIOTT S. KUSHNER
Certifying Officer, Division of
Trade Adjustment Assistance

4510-FN-P


DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-62,276

F.L. SMITHE MACHINE COMPANY
DUNCANSVILLE, PENNSYLVANIA

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, as
amended (19 USC 2273), the Department of Labor herein presents the
results of an investigation regarding certification of eligibility
to apply for worker adjustment assistance. The group eligibility
requirements for directly-impacted (primary) workers under Section
222(a) the Trade Act of 1974, as amended, can be satisfied in
either of two ways:
I. Section (a)(2)(A) all of the following must be satisfied:
A. a significant number or proportion of the workers in such
workers' firm, or an appropriate subdivision of the firm,
have become totally or partially separated, or are
threatened to become totally or partially separated;
B. the sales or production, or both, of such firm or
subdivision have decreased absolutely; and
C. increased imports of articles like or directly competitive
with articles produced by such firm or subdivision have
contributed importantly to such workers’ separation or
threat of separation and to the decline in sales or
production of such firm or subdivision; or



II. Section (a)(2)(B) both of the following must be satisfied:

A. a significant number or proportion of the workers in such
workers' firm, or an appropriate subdivision of the firm,
have become totally or partially separated, or are
threatened to become totally or partially separated;

B. there has been a shift in production by such workers’ firm
or subdivision to a foreign country of articles like or
directly competitive with articles which are produced by
such firm or subdivision; and

C. One of the following must be satisfied:
1. the country to which the workers’ firm has shifted
production of the articles is a party to a free trade
agreement with the United States;
2. the country to which the workers’ firm has shifted
production of the articles is a beneficiary country
under the Andean Trade Preference Act, African Growth
and Opportunity Act, or the Caribbean Basin Economic
Recovery Act; or
3. there has been or is likely to be an increase in
imports of articles that are like or directly
competitive with articles which are or were produced
by such firm or subdivision.

The investigation was initiated on October 10, 2007 in
response to a petition filed by the International Association of
Machinist and Aerospace Workers on behalf of workers at F.L. Smithe
Machine Company, Duncansville, Pennsylvania. The workers produced
envelope making machines, printing presses and related parts.
Workers are not separately identifiable by specific product
manufactured.
This investigation revealed that criteria (a)(2)(A)(I.C) and
(a)(2)(B)(II.B) have not been met.
The investigation revealed that the subject firm did not
import envelope making machines, printing presses and related
parts, nor did it shift production to a foreign country during
2005, 2006 or January through September 2007.
The Department of Labor surveyed the subject firm’s major
declining customers regarding purchases of envelope making
machines, printing presses and related parts in 2005, 2006 and
January through September 2007. The survey revealed that no
customer increased imports while decreasing purchases from the
subject firm.
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 of the facts obtained in this
investigation, I determine that all workers of F.L. Smithe Machine
Company, Duncansville, Pennsylvania are denied eligibility to apply
for adjustment assistance under Section 223 of the Trade Act of
1974, and alternative trade adjustment assistance under Section 246
of the Trade Act of 1974.
Signed in Washington, D.C. this 28th day of December 2007


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






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