London Fog Closing Last U.S. Sewing Plant

Raincoat maker London Fog Industries Inc. is closing a sewing plant in Baltimore, its last manufacturing site in the United States, laying off more than 280 workers.

The closing comes two years after London Fog worked out a deal with workers and local officials to save the plant under an experiment to see if it could compete with cheaper overseas contractors.

The city and state agreed to provide nearly $2 million in incentives and union workers accepted a $1.25 hourly wage cut to keep the plant open. But the Eldersburg, Md.-based company said Wednesday the experiment was too costly to continue.