Eagle Industries del Caribe, a manufacturer of military uniforms, ceased operations in Lares, Puerto Rico, on Friday, leaving 343 workers without employment. The closure is related to a reorganization by its parent company, Vista Outdoor Inc., which aimed to optimize costs by closing manufacturing plants with lower volumes of recurring orders. The company also closed plants in California, Colorado, Kansas, and Mississippi.
According to the parent company, the closure of the Lares factory is due to high energy costs, logistical problems, and issues with contract renewals. Historically, the Lares operation had suffered periods of inactivity or partial closures due to instability or delays in the allocation of new military contracts and fluctuations in demand. Eagle Industries had invested $1.8 million in 2011 and had committed to creating 300 additional jobs.
The company, established in Lares in 2008, had clients including the US Department of Homeland Security and the US Department of Defense.