Employees of the General Radiator Division of Chromalloy American Corp. have signed a letter of intent to buy the operation from its parent company, a union official said.
The agreement signed Wednesday clears the way for an employee takeover within the next three months, said David Garner, regional representative for the Machinists union and president of the newly formed GR Corp.
The sale would preserve the jobs of about 250 workers at two Mount Vernon plants that manufactures radiators for the heavy-equipment industry, he said. Chromalloy announced in September that it intended to sell the plants.
Garner refused to disclose financial arrangements but said completion of the sale depends on receipt of a $2-million state loan.