Over the next few months, Carestream will close up shop at its Windsor, Colorado manufacturing facility, transferring operations to different locations and laying off 210 of the 236 employees at the site.

In a letter to the Colorado Department of Labor and Employment, company CEO Todd Clegg said the first “reduction in forces” would begin in late April and affect 137 workers. Most employees affected will have left by the end of August, he said, with a few others to leave in the fourth quarter of 2024. A small number of positions at the site will be retained. Among the first group are 25 polyester operators and 23 sensitizing-manufacturing operators, according to BizWest.

The facility is made up of buildings that date back to the 1970s. One houses Carestream’s logistics and distribution center, while two others are used for film coating and contract manufacturing and include warehouse space, offices, and labs, reported BizWest. The company attributed its decision to close to reduced production volumes in some operations, opportunities to streamline shipment between sites, and the high cost of infrastructure at the 416-acre site.

“Our people have been dedicated and loyal employees of the company who demonstrate great pride in their work. It is important to emphasize that this decision is purely an economic decision, not one regarding the performance of the site,” said Andrew Mathews Sr., vice president of operations, in a statement.

Based in Rochester, New York, Carestream develops medical and X-ray imaging systems and provides precision contract coating services. The company listed its Colorado site for sale in 2023, reported BizWest.

Site leaders notified employees of the layoffs in a series of town hall meetings in November, and those affected are being given at least 60 days notice of their end dates. There is no seniority system at the company, and employees are not part of a union.

The layoffs come a year and a half after Carestream filed for bankruptcy, saying at the time that its $1.03 billion debt was unsustainable due to long-term headwinds affecting the medical imaging industry. The court approved its restructuring plan, which involves a recapitalization process and the company eliminating approximately $470 million of its debt.

Affected employees will be provided with workshops and assistance in finding alternative jobs, and will receive severance and further transition benefits upon their end date, said the company.

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