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Car-parts jobs head to Mexico

By Dale Kasler - dkasler@sacbee.com

Published 6:00 am PDT Thursday, May 15, 2008
Story appeared in BUSINESS section, Page D1

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A Rancho Cordova car-parts factory will lay off most of its workers next month, after completing the sale of much of its business to a competitor. Their jobs will be sent to Tijuana, Mexico.

An estimated 144 workers will be let go by Automotive Importing Manufacturing Inc., or AIM, according to a notice filed with the state. The 40-year-old company remanufactures, or overhauls, used alternators and starters.

Steve Seabourne, AIM president, said the layoffs follow the sale of most of AIM's business to Motorcar Parts of America Inc., a publicly traded company based in Torrance. The deal is set to close Friday.

He said competitive pressures forced his company to sell. Terms weren't disclosed.

"The big companies in our industry (are) gobbling up the small to medium-sized companies," he said. "It's just tough for a family-owned company in California to compete with these guys who are basically based in Mexico. It's a very sad situation, a family business letting all these people go."

Motorcar Parts has been moving most of its manufacturing to Mexico, and last fall announced it was closing its main facility in Torrance. In its most recent financial report, it said the relocation is responsible for improved operating results.

Gary Maier, a spokesman for Motorcar Parts, confirmed AIM's operations will go to Mexico.

Seabourne said his company is holding onto a parts-distribution business that employs about 20 workers.

– Dale Kasler

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