Southwest Virginia Population decline 2010-2018.

Bristol Compressors Closes Cost Taxpayers Millions

by Lewis Loflin

While no surprise to me, the Community was rocked when on August 1st Bristol Compressors announced they will close. Their last 470 workers will be fired in the next 60 days. This comes after Bristol Compressors received between $5-$6 million in incentives, corporate welfare, and tax breaks.

News reports says the equipment and patents are being sold to a company in Taiwan.

Above is an audio report and commentary. It discusses what business gets wrong in Southwest Virginia.

The promises of new jobs was a complete lie and government agencies refused to enforce the agreements. In fact they handed out more money after one default after another. Corruption 101. I warned this was going to happen.

The company was bought in 2012, fired workers, got another $1 million handout. The company's sub-standard product couldn't pass US efficiency standards so they were sold mainly in the Middle East. Those sales have fallen.

Bristol and Washington County were caught by surprise as usual. Bristol Compressors has a bad reputation among some as a low-pay and abusive employer. But it isn't just their workers getting a hit.

Another local company Air Gas a welding supply company will likely take a hit. Bristol Virginia Utilities went into a panic as well. Bristol Compressors is among their largest electric customer and officials are scrambling to figure out what to do next.

Could the public be there for these meetings? Not a chance.

This was reported in January:

New deal "game changer" for Bristol Compressors Jan 18, 2018 Bristol Herald Courier and is still on the Company website!

BRISTOL, Va . — Bristol Compressors on Thursday signed an exclusive development contract that could prove a “game changer” for the local firm, according to Kevin Mumpower, Bristol Compressors vice president of product engineering.

The Washington County-based manufacturer has an exclusive global partnership with DHX Electric Machines to develop new high efficiency compressors and systems.

"This agreement means nobody else can use this technology but Bristol Compressors," Mumpower said. "That is huge. A current motor we use weighs 25 pounds. This one weighs seven pounds. It's more efficient, lighter weight, lower cost and it's allowing us to change the industry with this motor. It’s hard to explain how much of a game changer this is. We've never had the opportunity to use a motor like this in a compressor."

The DwHX patented motor technology will allow Bristol to develop compressors that are shorter, lighter and more efficient than anything on the market today, Mumpower said.

(This is what was hidden from the public.)

The motor development is supported by a previously confidential $1 million, three-year research grant from the Virginia Tobacco Region Revitalization Commission that was matched by $1 million from the company, Mumpower said. The company is about six months into that development program...

Where is the new compressor? Where the hell is that $1 million research grant? What a rip-off in my opinion.

The Company website says nothing about closure of the Bristol plant. I have a feeling they are relocating with the technology the public paid for if they developed it.