Armstrong to Turn Over Part of its Lancaster Plant

Lancaster, PA, December 20--Franklin & Marshall College, the Economic Development Co. and Armstrong World Industries are exploring ways to revitalize the part of Armstrong's Lancaster floor plant which the company intends to vacate, according to the Lancaster New Era. Armstrong chairman and CEO Michael D. Lockhart said the company would like to turn over about 45 acres of the 65-acre complex to the college and EDC when Armstrong stops production of commercial flooring on that portion of the site. F&M president John A. Fry suggested the college might relocate some of its administrative offices to the tract to free up space for classrooms on the current section of campus. Ideally, the college would share the land with retail, recreational, residential and parking units, Fry indicated. Armstrong, F&M and the EDC have applied for a state grant to fund evaluations of the site and determine the best redevelopment options. EDC president Timothy W. Peters said the grant could be approved in two months, enabling planning to be completed as early as midsummer. No estimates of the cost of the study or the potential future developments were disclosed. However, Fry said the project would require "substantial additional public funding and support." Funding would be necessary for demolition, correction of existing site conditions, land planning and adding utilities, streets and infrastructure. "We know that there will be some big hurdles to clear along the way, but the parties are committed to working together to determine how the site will most benefit the City of Lancaster, our region's economy and the college," Fry said. Lockhart said Armstrong will be responsible for any necessary cleanup and "will not transfer the title until we're comfortable the cleanup has been dealt with efficiently." Armstrong announced in November it would phase out commercial floor production at the plant and lay off 450 people by May of 2006. At that time, Lockhart said Armstrong had yet to decide what to do with the section of the plant to be vacated. The company will continue to make residential flooring -- and retain 250 jobs -- at the plant. Armstrong said it plans to spend $8 million to separate the residential floor operation of the plant, on the northwest side along Dillerville Road, from the section of the plant it will vacate.