Yakima-area recreational vehicle manufacturer closes

Western Recreational Vehicles Inc. has shut down after a failed merger attempt and worker layoffs because of a slumping market, throwing 220 employees out of work.

Workers at the company's plant in this town south of Yakima were told of the closure Tuesday.,

President Bob Wert issued a statement saying the closure was temporary.

"During this short break in manufacturing, Western RV will review our alternatives and determine the best course of action going forward, Wert said. "Once a plan has been developed or a suitable buyer for the business is identified, we intend to resume normal manufacturing operations."

Salaried employees failed to receive their paychecks on schedule Tuesday and production workers were advised to look for other jobs, the Yakima Herald-Republic reported. Production workers were scheduled to be paid Thursday.

According to the Recreational Vehicle Industry Association of Arlington, Va., shipments of new RVs are expected to decline nearly 25 percent in 2007-08.

Western RV, owned by Monomoy Capital Partners of New York, makes high-end motor homes, fifth-wheel trailers and campers. Monomoy did not return calls for comment Wednesday. A receptionist told the newspaper the equity firm's partners were away from the office for an annual meeting.

The 37-year-old company founded by Bill and Suzanne Doyle was purchased by Monomoy in late 2006.

Monomoy announced an agreement in July to merge Western RV into Pilgrim International of Middlebury, Ind., but by fall the deal had fallen through. Last month Western RV laid off 47 workers, an action company officials said would align production with market demand.

In other recent RV industry woes, Country Coach of Coburg, Ore., laid off 100 workers, about 8 percent of the work force. Winnebago plans to lay off 225 workers this year in Forest City, Iowa, and hundreds of workers have lost are expected to lose their jobs at companies in northern Indiana.

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Information from: Yakima Herald-Republic, http://www.yakima-herald.com