SHENANGO VALLEY Agency OKs loans for businesses
The Farrell and Wheatland projects will create seven jobs.
THE VINDICATOR, YOUNGSTOWN, OHIO
By HAROLD GWIN
VINDICATOR SHARON BUREAU
SHARON, Pa. -- The Shenango Valley Enterprise Zone Corp. is helping two businesses to expand.
The nonprofit agency's board of directors voted Wednesday to loan $58,500 to Kalco Metals Inc. at 650 Broadway Ave., Farrell, and $82,031 to Omega Logging Inc. at 21 Council Ave., Wheatland.
The five-year variable loans are at 60 percent of the prime interest rate. That makes the loan rates about 2.85 percent now.
Kalco Metals produces specialty metals and alloys for the casting, aerospace, dental and medical industries and plans to buy a 1,400-square-foot modular office to install on its property and an ingot saw for its mill. Each item costs $65,000 for a total project cost of $130,000.
In addition to borrowing $58,500 from the enterprise zone, Kalco is borrowing $58,500 from Farrell and will put in $13,000 of its own money.
The company plans to move a laboratory from inside its plant to the modular office, freeing space for the new ingot saw.
Kalco has nine employees and will add three jobs with this project.
Omega Logging manufactures furniture and floor-grade lumber.
The company wants to buy additional manufacturing equipment to expand in a $220,000 project.
In addition to the enterprise zone loan, Omega is borrowing $82,031 from the Northwest Pennsylvania Planning and Development Commission and will put $55,938 of its own money into the project.
The company has 17 employees and will create five jobs with this project.