Layoffs loom for Ephrata Katana Summit employees

EPHRATA - Facing tough industry conditions, wind tower manufacturer Katana Summit officials announced this week that they are actively looking for a buyer for its Ephrata and Columbus, Neb. operations.

If no buyer is found, the company's facilities will likely be closed.

Katana Summit employs 79 people at its Ephrata location and 214 people at its Nebraska location.

Although Katana Summit saw major production in both facilities this year due to an increased demand for wind turbines, that demand has slowly decreased. President of Katana Summit Kevin Strudthoff attributes that decrease to an uncertainty of government policy.

The pending expiration of a production tax credit for wind turbines halted the majority of production for 2013, and will likely not pick back up until government policy on wind initiatives becomes more certain.

"I hope we can find a buyer to keep these plants operating," Strudthoff stated. "But unless government policy for renewable energy becomes more stable, I'm afraid we'll see more closures and job losses in the industry into 2013."

Employees at both locations were notified of the layoffs earlier this week, according to the release. Work on existing contracts will be completed, and layoff assistance will be provided to employees.

Strudthoff said layoffs will start to occur as production slows down around November. He added that the plants will not be considered fully closed.

Strudhoff also said the layoffs will be considered temporary layoffs for now, since company officials are working hard to find a buyer for its operations.

"We're talking to interested parties already," Strudthoff said. "I'm very hopeful about this."