PHOTO BY RENEA KESSLER / THE VILLAGE REPORTER
By: Jacob Kessler
THE VILLAGE REPORTER
jacob@thevillagereporter.com
The Fayette manufacturing facility, Eagle Machining, operated by First Brands Group, has closed immediately, accelerating a previously announced shutdown and impacting hundreds of local workers.
According to a new WARN Act notice dated January 27, 2026, First Brands Group LLC closed Eagle Machining, located at 705 North Fayette Street in Fayette, effective immediately due to what the company described as unforeseen business circumstances. The company had previously announced plans to begin closing the facility on February 27, 2026.
The updated notice states that the company had been actively seeking additional financing in recent months in an effort to avoid or postpone the shutdown. First Brands said it engaged with multiple lenders and stakeholders who expressed interest in providing capital that could have allowed operations to continue.
However, the company said those efforts ultimately failed, with no commitments made after what it described as a final series of meetings held in recent days.
In addition to financing efforts, First Brands said it pursued a full sale process in hopes of transitioning the business to new ownership that could have continued operations and avoided layoffs.
While the company said it made meaningful progress with several potential buyers, it stated that a sale is no longer considered imminent or actionable and cannot be relied upon to prevent the shutdown.
The company also cited additional business circumstances that contributed to the accelerated closure, including confirmation from major customers that they were withholding payments and were unwilling to continue supporting the company.
First Brands said those developments significantly worsened its financial situation and impacted its ability to secure further financing. The company also stated that certain parties previously viewed as actionable buyers ultimately declined to submit bids.
As a result, First Brands said the combination of failed financing efforts, stalled sale negotiations, and deteriorating financial conditions necessitated the immediate closure of the facility.
The updated WARN notice states that 246 total employees will be affected by the closure. According to the filing, 235 employees were terminated effective January 27, 2026.
Five employees will be retained temporarily to assist with closure-related matters and are scheduled to be terminated on February 6, 2026. An additional two employees will be terminated on February 27, 2026, and four more employees are scheduled for termination on March 27, 2026.
The company stated the closure is expected to be permanent and that bumping rights are not applicable because it is a complete shutdown of the facility.
Employees are encouraged to contact the Ohio Department of Job and Family Services for information regarding unemployment compensation, job matching, training funding, resume writing, interview preparation, and hiring events.
The accelerated shutdown comes as First Brands Group continues to face significant legal and financial developments at the corporate level. On January 29, 2026, federal prosecutors announced criminal charges against former First Brands executives in connection with what authorities described as a year’s long multibillion dollar fraud scheme.
According to a press release from the U.S. Attorney’s Office for the Southern District of New York, former First Brands Group CEO Patrick James and former senior executive Edward James were charged with conspiracy to commit wire fraud and bank fraud, conspiracy to commit money laundering, and multiple counts of wire fraud and bank fraud.
Prosecutors allege the executives deceived banks and lenders through fake collateral, double and triple-pledged assets, and misleading financial statements.
Federal authorities said the alleged schemes contributed to First Brands’ bankruptcy filing in September 2025 and left lenders and creditors facing billions of dollars in losses.
Federal officials stated that at the time of bankruptcy, First Brands reported approximately five billion dollars in annual worldwide sales but declared only twelve million dollars in cash and more than nine billion dollars in liabilities.
Prosecutors also announced that a former executive, Peter Andrew Brumbergs, has pleaded guilty and is cooperating with the investigation.
The latest developments follow earlier reporting from December 31, 2025, when First Brands first issued notice of plans to close the Fayette facility later this winter. That earlier WARN filing cited reduced production levels, high operating costs, and what the company described as an underperforming plant.
At that time, United Auto Workers Local 1181 Chairman Donald Messer raised concerns about the company’s financial condition and corporate level decision making.
Messer said employees were already on Christmas break when he learned of the planned closure and expressed concern about the impact on workers and the local economy. Messer also questioned corporate management decisions, material shortages, and payment issues with suppliers.
The Village Reporter has previously contacted First Brands representatives listed on WARN filings for comment. At the time of earlier reporting, company officials declined to confirm or deny details contained in the notice.
With the immediate closure now in effect, hundreds of Fayette area workers are now out of work.