Kannapolis, NC, Aug. 20--For nearly a century, Pillowtex's Plant No. 1 has dominated the heart of this mill village's downtown.
At six million square feet, the brick structure is four times the size of a typical shopping mall. Weeks ago, the 158-acre site buzzed as workers produced towels and sheets with popular brand names such as Cannon, Fieldcrest and Royal Velvet.
Then, late last month, company executives filed for bankruptcy protection and sent nearly 5,000 North Carolina workers home. About half of them worked at Plant No. 1.
The future of the landmark facility--descended from the Cannon mill founded in nearby Concord in 1887--is bleak, insiders say. Even if Pillowtex is bought by a company that plans to go back into the textile business, it's unlikely the buyer would have the wherewithal to restart operations at the mothballed plant.
And experts worry that if Plant No. 1 becomes a black hole at the heart of Kannapolis, the damage could spread.
"I'd compare it to a melanoma, like a cancer that could damage other development in the area if something isn't done with it," said Richard Flowe, an economic recruiter whose company, NFocus, is based in Cabarrus County. "If it remains idle for a couple of years it will begin to have a negative impact on surrounding properties. This is a trend that's very difficult to overcome."
Plant No. 1 is by far the biggest of 16 manufacturing and distribution facilities Pillowtex operated in the United States and Canada. The textile maker employed 7,650 workers at the time of its shutdown.
Until then, Pillowtex was one of the nation's No. 3 seller of home textiles, selling products such as towels, sheets, blankets, bath rugs, comforters and mattress pads to retailers around the country.
North Carolina Gov. Mike Easley still hopes a buyer can be found for Pillowtex. Before the bankruptcy filing--the company's second in less than three years--the governor personally was involved in efforts find a suitor.
"There were 100 potential buyers and I got that list and I'm going through them," Easley said last week. "I'm looking at all the irons in the fire right now with industries coming to North Carolina that might be suitable for these workers.
"That is our first option," he said. "The top priority is to get something back open."
It's not going to be easy.
"Most of the buildings are not useful for manufacturing," said Maurice Ewing, president of Cabarrus County's economic development organization. "Current demands for manufacturing facilities are different today than they were in the past."
For example, he said, Plant No. 1 has multiple floors and some of its ceilings are too low to operate modern warehousing equipment such as fork lifts. Most companies looking at empty factories are interested in single-story structures with high ceilings, he said.
"The good answer is these buildings do have alternative uses," he said. "The problem is defining the market to support the use."
The city of Kannapolis is seeking a $225,000 federal grant to study the Pillowtex site in hopes of narrowing down possible re-uses.
"I think it's fair to say all of us would like to see an adaptive use," Ewing said. "It's a lot more appealing than demolition."
Local business leaders said it will be difficult to match potential industrial tenants with the Pillowtex work force--some of whom dropped out of high school to go to work in the textile mills.
"We have a ready work force with a strong work ethic, if we can find the right kind of industry," said Frank Rankin, president of Concord Engineering & Surveying, and a member of the Greater Cabarrus Chamber of Commerce. "I'm concerned some of the older workers won't be able to find a job with the same lucrative salary and benefits they had at Pillowtex."
Hayes brought Sampson to the plant on Monday to give him a close-up view of the facility. After the tour, they sat down with local officials to discuss possible scenarios.
