East Devon was badly hit when Axminster Carpets went into administration putting 300 jobs at risk.
The new owners have taken back half the original staff and believe the town is now more optimistic for the future.
The former Mayor of Axminster Cllr Andrew Moulding spoke to ITV News West Country:
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Bob has the forecast for Devon, Cornwall, Dorset and Somerset.
Bob has the forecast for Bristol, Wiltshire, Somerset, Dorset and Gloucestershire.