DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-64,679

ENTERTAINMENT DISTRIBUTION COMPANY (USA) LLC
A SUBSIDIARY OF EDCI HOLDINGS INC.
GROVER, NORTH 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, 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 December 15, 2008, in
response to a petition filed on behalf of workers of
Entertainment Distribution Company (USA) LLC, a subsidiary of
EDCI Holdings Inc., Grover, North Carolina. The workers produce
compact discs and DVD discs (musical disc products).
The investigation revealed that the subject firm did not
import compact discs and DVD discs nor did it shift production
to a foreign country in 2006, 2007, or January through November
2008.
The Department of Labor surveyed the subject firm's major
declining customers regarding purchases of compact discs and DVD
discs in 2006, 2007 and January through November 2008. The
survey revealed that imports of these articles were negligible
during the relevant period.
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 Entertainment
Distribution Company (USA) LLC, a subsidiary of EDCI Holdings
Inc., Grover, North Carolina, 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, as amended.
Signed in Washington, D.C., this 24th day of February 2009


/s/Linda G. Poole
______________________________
LINDA G. POOLE
Certifying Officer, Division of
Trade Adjustment Assistance