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The struggling San Carlos-based chain is closing down after more than 75 years.All stores closed, including 61 in the Bay Area
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SAN CARLOS, Calif. — Kelly Moore Paint announced Friday that it will close all stores and manufacturing facilities in Texas and cease all operations. The company he founded in San Carlos in 1946.
According to the San Mateo Daily Journal, Kelly Moore was one of the nation’s largest paint companies, operating more than 150 stores in four states, including 61 in the Bay Area. San Jose had six stores, while Oakland, Concord, Fremont, Mountain View, San Mateo and Santa Clara had the most stores with two each, the East Bay Times reported.
In a news release, company executives said Kelly Moore filed thousands of claims related to asbestos, which had used asbestos in certain products under previous ownership until the practice was discontinued in 1981. The company cited the financial burden caused by this. The company was acquired by Pruger Chemicals in 2022 and Charles was appointed. Mr. Gassenheimer was appointed as the new CEO.
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“I couldn’t be more proud of what our talented team accomplished under extremely difficult circumstances,” Gassenheimer said in a statement. “We extend our deepest condolences to our loyal employees, customers, industry partners, and the communities in which we operate, who have supported Kelly Moore throughout its long history. After evaluating the options, this was the only viable option left for us.” ”
Kelly Mohr said bankruptcy and liquidation were not viable options for the company, which has paid $600 million over 20 years to settle asbestos lawsuits and is expected to receive tens of millions more in the future, is “unable to raise funds to continue operations.” He said it was not.
The company announced earlier this week that it was furloughing an estimated 700 employees across its locations and that all employees would receive full compensation for their hours worked.
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