BY JOHN REED LEADER EDITOR
KNOX — Congress' failure to bail out the Big Three automakers has a local impact: The parent firm of Knox's MPI filed bankruptcy Friday, Dec. 12,
However, efforts are already underway locally to find a buyer for MPI - also known as Indiana Fine Blanking.
"We have been in contact with three companies, and one appears very interested," Charles Weaver said. Weaver is executive director of the Starke County Development Foundation, and is proud of MPI: "MPI was one of the foundation's first successes," he said.

MPI employs 323, and although there are some layoffs, Weaver said those are planned layoffs related to the auto industry's routine shutdowns at the holiday season. Employees laid off within the last 72 to 96 hours "will be back on the job on Jan. 1."
At bankruptcy hearings in Delaware Monday, company officials said they had obtained $4 million to maintain operations for now.
Bankruptcy was filed by PPI (Precision Parts International), a holding company whose remaining business is MPI. Along with Knox, MPI has plants in Neenah, Wis., and Greenville, Tenn.
PPI said the filing comes "after an exhaustive exploration of operations for continuing the business including a sale of operations.
"Today's actions are unavoidable," said Joe Lefave, president and chief executive officer. "The current depressed conditions in the domestic auto industry, along with the continued tightening of credit markets, created insurmountable hurdles that could not be overcome."
MPI manufactures critical high-precision components for engines, transmissions, brake, safety and seating systems.
Weaver said the prospects for a buyer are good because MPI "is a critical supplier to the auto industry. Closing of the plant here could shut down the auto industry. No one else does what is done here." He said the employes have advanced manufacturing skills.
We did have talks with the state and they are very interested. Cong. Joe Donnelly has also said he will help in whatever way possible," Weaver said.
PPI filed Chapter 11 papers, which will allow it to wind-down operations, but eventually cease operations.
Local MPI officials did not respond to inquiries. Employees were notified of the situation Friday.