Appliance maker to close in Montreal

Mabe Canada. (File Photo)

Mabe Canada. (File Photo)

QMI Agency

, Last Updated: 11:01 AM ET

A major home-appliance maker will be closing its Montreal plant in 2014, at a cost of nearly 700 jobs.

Mabe Canada made the announcement to its employees Thursday.

"Due to several economic factors, it was determined that the Montreal plant could become financially viable," said

Michael McCrea, vice president of Canadian operations for the company, said in a release that the manufacturer is no longer viable, in a large part due to a decline in demand from the United States since 2008.

About 90% of the clothes dryers made by the plant, sold under brand names such as GE, are exported to the U.S.

The rise in the Canadian dollar was also blamed.

"There is no path to profitability for the plant," McCrea said in a release. "Even if it was to receive substantial government subsidies in combination with wage concessions from the union - the difference is simply too much."