After Delays, Renovations For American Phoenix Synthetic Rubber Plant Appear to Be Moving Forward

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Researched by Industrialinfo.com (Industrial Information Resources, Incorporated; Houston, Texas). American Phoenix Incorporated (Roseville, Minnesota) will renovate the shuttered Raytheon missile plant located in Bristol, Tennessee and convert it into a new synthetic rubber compounding plant. Blaine Construction (Knoxville, Tennessee) is providing the engineering and construction services for the renovation of the 667,000 square foot plant.

While the engineering portion of this project has been completed, American Phoenix is currently waiting on economic conditions to improve. The project is estimated to begin construction mid to late 2003.

Industrialinfo.com has been tracking the progress of this project since June of 2000, and after some delays, this project appears to be moving forward. When the company agreed to purchase the plant in 1999 for $3.6 million, the transfer of the deed was delayed due to site contamination. Raytheon produced missiles for the United States Navy at this site and American Phoenix needed assurance that Raytheon was responsible for the waste buried at the plant site during its years of operation.

Another factor for delaying this project can be attributed to market conditions. American Phoenix, who mixes rubber compounds for the production of tires, caters to clients in the tire manufacturing industry. The immense scrutiny and tire recalls that Firestone incurred over the past few years has slowed sales to customers, therefore hindering the immediate need for another compounded rubber plant.

Once the new Bristol, Tennessee plant becomes operational, it will be similar in nature to American Phoenix's existing compounding plant located in Eau Claire, Wisconsin.