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Winona Knitting signs letter to acquire Berwick Knitwear for about $3 million in cash. (Winona Knitting Mills Inc., sweater manufacturer) (Brief Article)

NEW YORK -- Winona Knitting Mills Inc., the Winona, Minn.-based sweater manufacturer, has signed a letter of intent to acquire Berwick Knitwear Inc. for about $3 million cash.

Once combined, Winona will have sales volume of roughly $35 million, according to principals of both companies.

Berwick will be completely intergrated into the Winona operation, with current Berwick employees becoming part of Winona's staff.

Consequently, Berwick's knitting operation will be eliminated, resulting in the loss of up to 50 jobs. However, the Berwick facility in Berwick, Pa., will be converted to a cut, sew and finish manufacturer of Winona/Berwick men's and women's sweaters.

In turn, ...

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