Melrose Industries has set a target date to resume full manufacturing operations at its Garden Grove facility in the US, which was hit by a chemical incident at the end of May, alongside the launch of a $100m claims programme.
In a July trading update Melrose said GKN’s Garden Grove facility in California was “back to partial production” following the chemical tank incident.
The site specialises in the provision of provider of military transparency systems and commercial aircraft transparencies.
GKN is targeting 28 September 2026 to resume full manufacturing operations, with the Orange County District Attorney’s Office (OCDAO) having closed its criminal investigation and determined that it will not bring any criminal charges.
A claims programme will be launched to provide up to $100m for eligible residents and businesses seeking to resolve claims for damages incurred in connection with the May evacuation order.
The scheme, which is expected to become effective in the coming weeks and remain open into 2027, will reimburse those eligible for costs associated with the evacuation, including hotel stays, meals, transportation, loss of wages, and loss of use.
GKN said it has “cooperated fully with all investigations, including that of the OCDAO, and today’s developments represent a significant step towards full resolution of the OCDAO’s civil investigation”.
“Claims by emergency services agencies for costs incurred in responding to the incident and potential civil enforcement penalties will be resolved separately and are not included in the claims programme announced today,” it said.
“Since the incident occurred, GKN has worked closely with regulators, local authorities and other relevant stakeholders to carefully review the incident and prepare to safely return to full operations. GKN has permanently decommissioned the tank involved in the incident and has made substantial investments in safety enhancements at the facility.
“GKN is targeting 28 September 2026 to resume full manufacturing operations with a phased return to full capacity and customer deliveries during the fourth quarter. GKN will continue to work closely with relevant agencies and officials to achieve this.”