A total of 65 jobs will be lost with the closure next month of Peerless Rugs, a rug-manufacturing firm in Athy, Co Kildare, writes Declan Fahy.
The Tanaiste, Ms Harney, expressed disappointment at yesterday's announcement. She said: "The closure of the Athy facility is a severe blow to the workers concerned and to the local community."
A statement from the company said: "An orderly winddown of activities is planned, with closure of the manufacturing activity scheduled for June 2001. All creditors will be paid."
The company said that it was "co-operating with the various agencies to attract alternative employment to the area".