Potomac Supply idles Kinsale operations

AP News
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Posted: Jan 11, 2012 11:42 AM
Potomac Supply idles Kinsale operations

Building-supply manufacturer Potomac Supply Corp. has temporarily closed its manufacturing operations in Kinsale and is looking for funding to continue.

CEO William T. Carden Jr. says in a news release that Potomac Supply's bank advised the company this week that it's unwilling to continue providing financing without additional capital investment.

Fifty-seven jobs were lost when Potomac Supply closed its sawmill in December. Carden says another 168 jobs will be lost if it cannot find funding to continue operations.

Options being pursued include new financing, private equity investment, divisional divestitures or sale of the company.

Carden attributes the company's financial struggles to the recession.

Founded in 1948, the Kinsale-based company has five manufacturing operations.