City to be Home to Canada's Largest Bakery
TORONTO, Feb. 17 /CNW/ - Canada Bread Company, Limited (TSX:CBY) today announced it has reached an agreement in principle with the City of Hamilton for a 25-acre property in the 480-acre North Glanbrook Industrial Park where Canada Bread plans to construct a new 375,000 square foot bakery facility.
"We are very pleased to be growing our presence in Hamilton through this $100 million investment to establish a world-class bakery facility," said Richard Lan, President and CEO, Canada Bread. "This city is a great location to support our continued growth with a skilled workforce, excellent infrastructure, and ready access to markets. These benefits collectively led to our decision."
The Government of Canada, through the Southern Ontario Development Program, will provide $2 million in the form of a repayable contribution to be used towards pre-engineering and design activities to build the new bakery facility.
"Our government is committed to creating jobs and supporting the people, communities and businesses of southern Ontario," said the Honourable Minister Goodyear, Minister of State for the Federal Economic Development Agency for Southern Ontario. "This project will benefit residents of Hamilton and the region by stimulating the local economy and bring hundreds of jobs to the area."
Canada Bread already has a strong presence in Hamilton where it employs approximately 340 people at its Fresh Bakery and Olivieri pasta facilities. The investment in the new facility will support up to 300 jobs with an additional 31 hourly positions being created on a seasonal basis. During the construction phase, an estimated 110-120 construction jobs will also be created.
"We are thrilled to be the new home to Canada's largest bread maker," said Mayor Fred Eisenberger, City of Hamilton. "The $100 million investment by Canada Bread is a major economic boost for Hamilton bringing jobs and helping to transform our local economy."
The Company and the City of Hamilton will now proceed with completing all the engineering and permitting requirements, including obtaining regulatory approvals. Once complete and the land is acquired, construction is expected to commence by June 2010, with the first production lines being commissioned approximately 12 months later.
The new facility will be designed to obtain certification under the LEED(TM) (Leadership in Energy and Environmental Design) program once construction and commissioning is completed. The (LEED) Green Building Rating System(TM) is the nationally accepted benchmark for the design, construction and operation of high performance green buildings.
Members of the community with questions about the Company's construction plans should direct their inquiries to the Canada Bread Information Line at 1-888-269-4393 or email firstname.lastname@example.org.
Canada Bread Company Limited, which is 89.8% owned by Maple Leaf Foods Inc. (TSX:MFI), is a leading manufacturer and distributor of fresh bakery products, frozen par-baked products and fresh pasta and sauces. The Company had 2008 sales of $1.7 billion and employs approximately 8,500 people at its operations across North America and in the United Kingdom.
SOURCE Canada Bread Company, Limited
For further information: For further information: Media Contact: Jeanette Jones, VP Communications, Ph: (416) 926-2020; Investor Contact: Michael H. Vels, Chief Financial Officer, Ph: (416) 926-2028