Advance Engineered Products also filed for creditor protection
REGINA—About 135 employees at tanker truck manufacturer Advance Engineered Products in Regina were laid off with little notice after the company filed for creditor protection.
CEO Darryll Zwarych said in a release that “a sharp and sudden downturn in the energy market in Western Canada has resulted in customers cancelling or deferring sales orders which has materially reduced our manufacturing backlog.”
He added creditor protection process would give the company the opportunity to “restructure its financial obligations” and “right-size its operations to reflect the current reality of the energy sector.”
The company said its Advance Tank Centre in Regina will continue to operate normally, focusing on customer service.
Hugh Wagner, president of the Grain Services Union, said a skeleton crew will continue to operate in manufacturing to finish works in progress and to keep the operation alive for possible future projects.
“This is an extremely difficult situation and terrible hardship for the affected employees,” said Wagner.