NRI to Close Two Recycling Plants

NRI Industries, one of Ontario’s biggest tyre recyclers, is closing two plants, with the loss of 425 jobs. Alan Power, NRI’s chief executive officer, confirmed yesterday that the company will end automotive parts manufacturing in the next three months, but hopes to survive by producing rubber mats, flooring and sound dampeners.

That would save 125 jobs and two remaining plants in Toronto. NRI employs more than 600 people. It also means NRI would continue to recycle between 70 and 80 per cent of the estimated 1.5 million used tyres it handles annually since mats and flooring require a lot more rubber, according to Power.

NRI went into bankruptcy protection early last month in an attempt to restructure its operations and debts. The company has obligations of almost $25 million, including about $15.2 million in debt to the Bank of Montreal, the Toronto Star reported.