DEPARTMENT OF LABOR

Employment and Training Administration

TA-W-41,041

UNITED CENTRAL INDUSTRIAL SUPPLY COMPANY, LLC
BLUE RIDGE INDUSTRIAL SUPPLY COMPANY
BASSETT, VIRGINIA

TA-W-41,041A


UNITED CENTRAL INDUSTRIAL SUPPLY COMPANY, LLC
VIRGINA MACHINE TOOL COMPANY
BASSETT, VIRGINIA


Negative Determination Regarding Eligibility
To Apply For Worker Adjustment Assistance

In accordance with Section 223 of the Trade Act of 1974 (19
USC 2273) as amended by the Omnibus Trade and Competitiveness Act
of 1988 (P. L. 100-418), the Department of Labor herein presents
the results of an investigation regarding certification of
eligibility to apply for worker adjustment assistance.
In order to make an affirmative determination and issue a
certification of eligibility to apply for adjustment assistance,
each of the group eligibility requirements of Section 222 of the
Act must be met:
(1) that a significant number or proportion of the workers
in the workers' firm, or an appropriate subdivision
thereof, have become totally or partially separated, or
are threatened to become totally or partially
separated;

(2) that sales or production, or both, of the firm or
subdivision have decreased absolutely; and

(3) that increases of imports of articles like or directly
competitive with articles produced by the firm or
appropriate subdivision have contributed importantly to
the separations, or threat thereof, and to the absolute
decline in sales or production.

An investigation was initiated on March 11, 2002, in
response to a petition filed by the company on behalf of workers
of United Central Industrial Supply Company, LLC, Blue Ridge
Industrial Supply Company, Bassett, Virginia, and United Central
Industrial Supply Company, LLC, Virginia Machine Tool Company,
Bassett, Virginia.
The workers at Blue Ridge Industrial Supply Company,
Bassett, Virginia (TA-W-41,041), were engaged in distribution of
industrial cleaning and paper supplies.
The workers at Virginia Machine Tool Company, Bassett,
Virginia (TA-W-41,041A), were engaged primarily in the repair of
tools. There was a small percentage of remanufacturing of tools
used by the subject firm customers for the assembly of furniture.
With respect to workers at Blue Ridge Industrial Supply
Company, Bassett, Virginia (TA-W-41,041), the investigation
revealed that the workers do not produce an article within the
meaning of Section 222(3) of the Trade Act, as amended. The
Department of Labor has consistently determined that the
performance of services does not constitute production of an
article.
Workers of Blue Ridge Industrial Supply may be certified
only if their separation was caused importantly by a reduced
demand for their services from a parent firm, a firm otherwise
related to the subject firm by ownership, or a firm related by
control. Additionally, the reduction in demand for services must
originate at a production facility whose workers independently
meet the statutory criteria for certification and the reduction
must directly relate to the product impacted by imports. These
conditions have not been met for workers at Blue Ridge Industrial
Supply.
With respect to workers at Virginia Machine Tool Company,
Bassett, Virginia (TA-W-41,041A), the investigation revealed that
criterion (3) was not met.
United Industrial Supply Company, LLC, Virginia Machine Tool
Company, does not import remanufactured tools.
The Department conducted a survey of Virginia Machine Tool
Company's major declining customers regarding their purchases of
tooling during 2000, 2001, and the periods of January through May
of 2001 and 2002. The survey revealed that customers of the
subject firm did not import tooling during the relevant time
period.
A petition for NAFTA-Transitional Adjustment Assistance has
been filed on behalf of workers at the subject firm (NAFTA-5788).


Conclusion
After careful review, I determine that all workers at United
Central Industrial Supply Company, LLC, Blue Ridge Industrial
Supply Company, Bassett Virginia (TA-W-41,041), and Blue Ridge
Industrial Supply Company, LLC, Virginia Machine Tool, Bassett,
Virginia (TA-W-41,041A), are denied eligibility to apply for
adjustment assistance under Section 223 of the Trade Act of 1974.

Signed at Washington, D.C., this 27th day of September 2002.
___
/s/Linda G. Poole________
LINDA G. POOLE
Certifying Officer, Division of
Trade Adjustment Assistance