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Washex Closes Plant, Lays Off Remaining Employees

WICHITA FALLS, Texas — Washex Inc., a longtime manufacturer of automated laundry processing systems and computerized data-management systems, reportedly closed its Wichita Falls plant and laid off its remaining employees on Friday.
It’s unknown if Washex, headquartered in Wichita Falls since 1973, has ceased business operations, however, as the company has released no official statement.
Phone messages left at the company’s headquarters have not been returned, and e-mails seeking comment from Washex officials were returned undelivered. On Monday, the company’s website was no longer functioning.
Signs taped to the front doors of the facility referred inquiries about Washex to Lavatec Inc., Naugatuck, Conn. Washex has been owned by Lavatec AG, a German-based manufacturer of heavy-duty laundry equipment and the parent company of Lavatec Inc., since October 2000.American Laundry News left a phone message seeking comment from Lavatec CEO Samir Tadros and is awaiting his reply.
The number of Washex employees affected by the closure is uncertain.
The Texas Workforce Commission (TWC) and the U.S. Department of Labor are investigating wage claims filed by former Washex employees seeking unpaid wages from the company, according to The Times Record News, the Wichita Falls newspaper.
A TWC spokeswoman confirmed this morning that the agency has received 42 claims.
In January, Washex laid off 27 employees, citing the economy and slumping orders, The Times Record News reported.
There are other signs of possible financial problems. On Sept. 18, De Lage Landen Financial Services, Wayne, Pa., sued Washex in U.S. District Court for allegedly defaulting on multiple equipment leases. In its lawsuit, De Lage Landen claims Washex has failed to make monthly payments totaling $3,762 on five forklifts since September 2008.
The Washex name has been part of the laundry industry since 1923. Abe Traube, a drycleaning plant owner in Brooklyn, N.Y., used it to identify a machine he designed that would both wash and extract, according to a company history previously posted on its website.
Washex reportedly introduced the first end-loading, open-pocket machine in 1948, and was “significantly impacting the commercial and industrial laundry markets by the mid-’50s.” Development of a suspension system in 1964 enabled high-speed Washex washer-extractors to be installed anywhere, including upper floors. Washex also developed machinery for textile dyeing and denim processing over the years.
Most recently, Washex was producing washer-extractors, dryers, finishing equipment, tunnel systems, and systems automation. Some Washex equipment was displayed in Lavatec’s booth at Clean ’09 this summer.
 

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