Feb. 24, 2010
FREDERICTON (CNB) - The provincial government is providing a $500,000 loan guarantee and investing $100,000 to help maintain up to 70 jobs at SWP Industries Inc., a value-added manufacturing company in St. Stephen.
"The provincial government recognizes the difficulty many small, rural enterprises are having accessing credit through the downturn in United States housing markets, especially those in resource industries," said Business New Brunswick Minister Victor Boudreau. "We are proud to support this essential employer in the St. Stephen area by providing them with the means for productivity and profitability."
The loan guarantee will be used for working capital, along with a $100,000 contribution from the Regional Development Corporation through the Community Development Trust.
The company produces a line of value-added wood products, fencing products from northern white cedar, as well as manufactured vinyl fencing and aluminum fencing. They serve more than 400 dealers in the United States and Canada. Raw material is processed at SWP's sawmill in Bayside.
Company president Stephen Crabbe said he appreciated the government's assistance.
"The fundamentals of our business are strong," said Crabbe. "We're a profitable company with healthy sales, and a team with hundreds of years experience. But we're not immune to the disastrous market turbulence of the past two years and we're most appreciative that the province has agreed to help us through. It will leave us in a good position to capitalize when the market turns and demand for our products gets strong again. Ultimately what this money will do is preserve good paying manufacturing jobs with benefits for people in the province."
MEDIA CONTACTS: Ashley Bursey, communications, Business New Brunswick, 506-453-2694; Stephen Crabbe, president, SWP Industries Inc., 506-465-0832.