DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-70,230

MILLINOCKET FABRICATION AND MACHINE INC.
MILLINOCKET, MAINE

Negative Determination Regarding Eligibility
To Apply for Worker Adjustment Assistance

In accordance with Section 223 of the Trade Act of 1974, as
amended ("Act"), 19 U.S.C. § 2273, the Department of Labor
herein presents the results of an investigation regarding
certification of eligibility to apply for worker adjustment
assistance.
Workers of a firm may be eligible for worker adjustment
assistance if they satisfy the criteria of subsection (a), (c)
or (f) of Section 222 of the Act, 19 U.S.C. § 2272(a), (c), (f).
For the Department of Labor to issue a certification for workers
under Section 222(a) of the Act, 19 U.S.C. § 2272(a), the
following three criteria must be met:
I. The first criterion (set forth in Section 222(a)(1) of the
Act, 19 U.S.C. § 2282(a)(1)) requires that a significant
number or proportion of the workers in the workers' firm
must have become totally or partially separated or be
threatened with total or partial separation.

II. The second criterion (set forth in Section 222(a)(2) of the
Act, 19 U.S.C. § 2272(a)(2)) may be satisfied in one of two
ways:
(A) Increased Imports Path:
(i) sales or production, or both, at the workers' firm
must have decreased absolutely, AND
(ii) (I) imports of articles or services like or directly
competitive with articles or services produced or
supplied by the workers' firm have increased, OR
(II)(aa) imports of articles like or directly
competitive with articles into which the
component part produced by the workers' firm was
directly incorporated have increased; OR
(II)(bb) imports of articles like or directly
competitive with articles which are produced
directly using the services supplied by the
workers' firm have increased; OR
(III) imports of articles directly incorporating
component parts not produced in the U.S. that are
like or directly competitive with the article
into which the component part produced by the
workers' firm was directly incorporated have
increased.

(B) Shift in Production or Supply Path:
(i)(I) there has been a shift by the workers' firm to a
foreign country in the production of articles or
supply of services like or directly competitive with
those produced/supplied by the workers' firm; OR
(i)(II) there has been an acquisition from a foreign
country by the workers' firm of articles/services that
are like or directly competitive with those
produced/supplied by the workers' firm.

III. The third criterion requires that the increase in imports
or shift/acquisition must have contributed importantly to
the workers' separation or threat of separation. See
Sections 222(a)(2)(A)(iii) and 222(a)(2)(B)(ii) of the Act,
19 U.S.C. §§ 2272(a)(2)(A)(iii), 2272(a)(2)(B)(ii).

Section 222(d) of the Act, 19 U.S.C. § 2272(d), defines the
terms "Supplier" and "Downstream Producer." For the Department
to issue a secondary worker certification under Section 222(c)
of the Act, 19 U.S.C. § 2272(c), to workers of a Supplier or a
Downstream Producer, the following criteria 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 is a Supplier or Downstream Producer
to a firm that employed a group of workers who
received a certification of eligibility under Section
222(a) of the Act, 19 U.S.C. § 2272(a), and such
supply or production is related to the article or
service that was the basis for such certification; and

(3) either
(A) the workers' firm is a supplier and the component
parts it supplied to the firm 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
described in paragraph (2) contributed importantly to
the workers' separation or threat of separation.

The investigation was initiated in response to a petition
filed on May 19, 2009 on behalf of workers of Millinocket
Fabrication and Machine Inc., Millinocket, Maine
(Millinocket). The workers produce grinder room parts and are
a separately identifiable worker group. These parts are used
to repair paper machines. The investigation included
collection of data from the subject firm and a survey of the
subject firm's only customer.
With respect to Section 222(a) of the Act, the
investigation revealed that criteria (II) (A), (II) (B) and III
have not been met.
The subject firm did not shift production of grinder room
parts or like or directly competitive products to a foreign
country, nor did it import grinder room parts like or directly
competitive products in 2007, 2008, or January through April
2009. The Department of Labor surveyed the subject firm's
major declining customer regarding purchases of grinder room
parts, including like or directly competitive articles in
2007, 2008, and January through April 2009. The survey
revealed that the customer did not purchase imports during the
relevant period.
With respect to Section 222(c) of the Act, the
investigation revealed that workers of Millinocket Fabrication
and Machine, Inc. who are engaged in employment related to
grinder room parts do not meet the criteria for secondary
worker certification.
Criterion 2 has not been met because the workers at
Millinocket Fabrication and Machine, Inc. did not produce
component parts for an article or supply a service directly to
another firm that was used in the production of an article
that received a certification of eligibility under subsection
(a) of a group of workers employed by such firm.
Finally, the group eligibility requirements under Section
222(f) of the Act, 19 U.S.C. § 2272(f), have not been satisfied
because the workers' firm has not been identified in an
affirmative finding of injury by the International Trade
Commission.



Conclusion
After careful review of the facts obtained in the
investigation, I determine that workers of Millinocket
Fabrication and Machine Inc., Millinocket, Maine, engaged in
employment related to production of grinder room parts are
denied eligibility to apply for adjustment assistance under
Section 223 of the Act, 19 U.S.C. § 2273.
Signed in Washington, D.C., this 28th day of August, 2009.


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