Deal reached to save London plant from closing

LONDON, Ont - A deal is in the works that would see executives at the Nagata Automotive parts plant in London, Ont., buy the plant and keep it open.

Nagata provides parts for the Cami plant in Ingersoll, Ont., and was put on the block by its owners because of falling profits and sales.

In November, officials at the 10-year-old plant said the facility would be closed in March unless a new buyer was found.

On Thursday, four managers and the Canadian Auto Workers union forged a deal to cut costs and ultimately save more than 100 jobs.

But Greg Ducharme, one of the four managers, cautions that financing and business plans have to be developed before the deal is finalized.

CAW president Buzz Hargrove hails the news, saying co-operation between union and management is critical to saving manufacturing jobs.