Consolidated Glass Holdings (CGH) has issued a statement clarifying the status of J.E. Berkowitz (JEB) and its other subsidiaries. The full statement is as follows:
“CGH today clarified its ongoing position in the glass and glazing marketplace. CGH consists of three core operations: JEB, Solar Seal and Columbia Commercial Building Products (CCBP). SSI Consolidated Holdings (SSI) consists of two other core operations: Global Security Glazing and Dlubak Specialty Glass. All of these operations, like our entire world, were affected by the global pandemic that began in earnest in March of 2020. While some of the operations continue to have success, some were more severely impacted resulting in necessary corporate actions.
SSI’s Global Security Glazing and Dlubak Specialty Glass are open and operating at full strength. Both operations successfully weathered the challenge of 2020, in fact growing their sales from 2019, and are positioned extremely well for 2021 and beyond. SSI expects no disruption in their processes and are very excited about the year ahead. The security division will continue to operate independently of the architectural side of the business as it relates to vendors and customers.
JEB has officially paused operations and furloughed its employees. As one of the most accomplished glass fabricators in our industry, with signature work all over the United States, the delays that initially came with the onset of COVID-19 took a significant toll. Furthermore, disruptions to the workforce as a result of the pandemic were substantial, leading CGH to decide to suspend manufacturing operations at JEB.
CCBP is winding down operations primarily due to the lease at its Rockwall, Texas, facility. With a lease terminating and the cost of moving high-end glass fabrication equipment looming, CGH decided it was prudent to complete its remaining pipeline and subsequently liquidate the operation unless a buyer can be found. CCBP has performed well through these challenging times and, unfortunately, the increase in fixed lease expenses and the potential cost of moving the equipment and operation is too much to bear for the organization as a whole.
Solar Seal is currently open and operating. However, a notice of the plant closure was sent to employees based on the current situation. We are hopeful that conditions will improve and that we will be able to revise our outlook and continue operations at Solar Seal.
The CGH product offering from high performance glass to security products is broad and well respected throughout North America. CGH and SSI are working with a team of outside advisors to explore strategic alternatives, including the sale of CGH’s architectural businesses and/or SSI’s security businesses.
From Robert Cummings, president and CEO of CGH: ‘This is an extremely challenging time in our world in all aspects. From our health and wellbeing in everyday life, to the disruptions on the business side of things. We have many incredible people at CGH, a loyal customer base, amazing vendors, as well as a great financial partner, and we are doing everything we can to move all efforts in the right direction. I am proud of our team and how hard everyone continues to fight on. We will continue to examine all avenues for the future of the CGH and SSI companies and will do what we do best: manufacture, fabricate, and deliver high quality products at our ongoing operations.’”
USGNN™ will update the story as more information becomes available.