Denied
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TAW-63466  /  Citation Corporation (Butler, IN)

Petitioner Type: Company
Impact Date:
Filed Date: 06/03/2008
Most Recent Update: 07/03/2008
Determination Date: 07/03/2008
Expiration Date:

DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-63,466

CITATION CORPORATION
BUTLER, INDIANA

Negative Determinations 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 May 3, 2008, in response to a
petition filed by a company official on behalf of workers of Citation
Corporation, Butler, Indiana. The workers produce aluminum permanent
and semi-permanent mold castings.
The investigation revealed that criteria (a)(2)(A)(I.B) and
(a)(2)(B) (II.B) have not been met.
Sales and production at the subject firm increased in 2007
compared with 2006 and continued to increase in January through
April 2008.
Additionally, the subject firm has not shifted production
abroad nor did it import in the relevant period.
Petitioners allege secondary impact based on sales of
components to a trade certified firm. Subject firm sales to
certified firms was negligible (less than one percent) in the
relevant periods, however, and did not contribute importantly to
separations at the firm.
The investigation further revealed that the subject firm has
lost export business which will impact the firm in the near future.
Loss of sales to a customer located abroad, however, does not
qualify workers for adjustment assistance benefits, as the Trade
Act specifies imports or a shift of production abroad by the
subject firm as the bases for worker eligibility.
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 the
investigation, I determine that all workers of Citation
Corporation, Butler, Indiana, are denied eligibility to apply for
adjustment assistance under Section 223 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 in Washington, D.C., this 3rd day of July 2008


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