GUELPH, ON, Jan. 19 /CNW/ - Hammond Power Solutions Inc. will expand its operations and add a research and development test laboratory thanks to an Economic Action Plan investment of $1,495,000. The announcement was made by the Honourable Gary Goodyear, Minister of State for the Federal Economic Development Agency for Southern Ontario (FedDev Ontario) at the company's headquarters in Guelph.
"This investment will allow Hammond Power Solutions to increase production capacity, develop innovative technologies, and improve its competitiveness," said Minister Goodyear. "Our government is committed to creating jobs and supporting the people, communities and businesses of southern Ontario."
Funding will come from the Southern Ontario Development Program (SODP) and will help Hammond Power Solutions Inc. expand its operations and increase its capacity to produce larger power transformers, while using modern materials, handling equipment and state-of-the-art manufacturing technology. The expansion of Hammond's facilities will provide immediate economic stimulus locally through job creation, material procurement and project supervision.
"Given the challenges faced by Canadian manufacturers during the economic recovery and the rising Canadian dollar, we sincerely appreciate this support from our federal government," said William Hammond, Chairman and CEO of Hammond Power Solutions Inc. "This funding, combined with our company's investment, will help turn our Guelph plant into an industry-class facility where engineered products will be produced to meet the global need for efficient clean power solutions."
This project is among 63 projects the Government of Canada intends to support with a contribution of up to $62,711,900 through the 2009/2010 general intake of the SODP. Other projects will be announced in the coming weeks.
For additional details on the Southern Ontario Development Program, please refer to the backgrounder, visit the FedDev Ontario web site at www.southernontario.gc.ca, or call 1-866-593-5505. For additional information on Canada's Economic Action Plan, visit www.actionplan.gc.ca.
This news release is available online at: www.southernontario.gc.ca and www.actionplan.gc.ca.
Southern Ontario Development Program (SODP)
Announced in Canada's Economic Action Plan, the Federal Economic Development Agency for Southern Ontario (FedDev Ontario) was established to deliver federal economic development programs to support the priorities of workers, businesses and communities in Southern Ontario. Budget 2009 allocated $1 billion over five years for the new Agency.
The Southern Ontario Development Program (SODP) was established as a core program of FedDev Ontario. It will build upon the assets and strengths of communities to create an environment where businesses can thrive and maximize southern Ontario's potential to succeed in the knowledge-based economy.
Funding under this program will go towards projects that can stimulate local economies and enhance the growth and competitiveness of local businesses and communities. Approximately $100 million has been allocated to the SODP in 2009-10, including the following:
- Nearly $63 million through a general intake process;
- $20 million through an intake for the food and beverage processing
- $15.75 million for the Canadian Manufacturers and Exporters' (CME)
SMART Program to fund an estimated 300 projects that will help small-
and medium-sized manufacturers increase their productivity and
competitiveness in the global economy; and
- $1.6 million for the Ontario Chamber of Commerce's Export Market
Access Program to help southern Ontario businesses that would like to
increase their sales internationally.
For more information, please visit the FedDev Ontario website at www.southernontario.gc.ca or call 1-866-593-5505.
SOURCE FEDERAL ECONOMIC DEVELOPMENT AGENCY FOR SOUTHERN ONTARIO
For further information: For further information: For media enquiries, contact: Gary Toft, Director of Communications, Office of the Honourable Gary Goodyear, (613) 943-7599; Media Relations, FedDev Ontario, (613) 954-5543