Furukawa and SGF begin second phase of investment in Phillips-Fitel in Rimouski
27 new jobs created
Montréal, June 27, 2000 - Mr. Claude Blanchet, Chairman of the Board and Chief Executive Officer of Société générale de financement du Québec (SGF) and Mr. Junnosuke Furukawa, President and Chief Executive Officer of Furukawa Electric Co., in the presence of Québec Prime Minister Lucien Bouchard, announced today the beginning of the second phase in the expansion of the Phillips-Fitel (PFI) plant in Rimouski.
The second phase of the expansion will increase annual cable production capacity to 6,000 km and will create 27 additional jobs, for a total of 90 employees. "As expected, our partnership with Furukawa has been fruitful. The Phillips-Fitel plant in Rimouski is now recognized as a world leader in its industry and, today, the entire Lower St-Lawrence region is reaping the benefits. Mission accomplished," said Claude Blanchet.
The Prime Minister added that "Québec offers an environment beneficial to investment ventures and possesses a workforce qualified in state-of-the-art technology. Once again, Furukawa and SGF show their confidence in Phillips-Fitel employees to continuously grow the business and improve performances".
Phillips-Fitel Inc. is the only Canadian manufacturer of fibre optic guard cable for the high-speed transmission of voice and data, as well as for the protection of transportation networks from lightning and power interruptions.
In 1997, PFI had an annual cable production capacity of 2,000 km, employed 32 people and was operating at full capacity. An initial expansion enabled the company to increase its annual capacity to 3,200 km, add equipment, expand the cleanroom and create 10 new jobs.
Furukawa Electric Co. was founded in Japan in 1884. It has revenues of US$5 billion and employs close to 9,000 people in its 29 facilities in Japan and 44 subsidiaries elsewhere around the world. Its core activities are wire, cable and accessories, but it is also active in the processing of aluminum, copper, various automobile parts, plastics and other materials.
The mission of the Société générale de financement du Québec is to realize industrial projects meeting normal profitability requirements, in collaboration with business partners. Since 1985, SGF has generated investments of about $6.7 billion, leading to the creation of 22,000 direct and indirect jobs. As of December 31, 1998, consolidated assets totaled $1.8 billion. Companies in which the SGF holds interests had total assets of close to $10 billion. SGF has 33 international partners operating in Québec.
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