New York Governor David A. Paterson on August 17 announced that SKF Aeroengine North America will invest nearly $18 million in a new heat treat facility in Falconer, N.Y. The company will retain all 691 high-paying positions in Chautauqua County. As part of this investment, the company will be installing a new high-tech vacuum furnace. This furnace will allow for a heat treatment process called Pyrowear 675, which involves both vacuum carburizing and vacuum hardening. The heat treatment process in bearing manufacturing is viewed as a very critical operation.
"This is a tremendous investment in New York State's manufacturing base and one that helps solidifies SFK's long-term viability in Chautauqua County," Governor Paterson said. "Because of the significant and highly valued nature of this type of manufacturing, this investment will allow SKF the capacity to make additional investments in the future. What's more, other local New York State businesses, particularly parts suppliers, will be positively impacted by this expansion of SKF's facilities in Falconer. I applaud Tom Johnstone and his team and would like to thank SKF for their continued commitment to the southern tier of Western New York."
Johnstone, president and CEO of AB SKF, said: "We are very pleased to dedicate the construction commencement of this significant investment in SKF's operations in Falconer. This new facility enables us to bring together all local operations to the Falconer campus, and implement a state-of-the-art heat treat operation with cutting edge technology that will process parts for four aerobearing operations in the U.S., as well as for Venture Aerobearings, our joint venture with GE, in Charleston, South Carolina. While SKF is making a significant investment in this project, it would not have been possible without the dedicated support of the State of New York and the various organizations. This is something the local community can take great pride in securing."
To help offset the costs of this project; Empire State Development (ESD) offered SKF $2.75 million, with a $1.375 million grant from both the Manufacturing Assistance Program and Upstate Regional Blueprint Fund. Additionally, the company will receive $250,000 each from the New York State Assembly and the New York State Senate, as well as two megawatts of hydropower from the New York Power Authority (NYPA).
Empire State Development chairman and CEO Dennis M. Mullen said: "Projects like this are exactly why Governor Paterson created the Upstate Regional Blueprint Fund-to promote economic development by helping leverage private capital investment across New York State. The long-term impact an $18 million investment has on the Chautauqua County economy and community cannot be underscored. ESD is proud to be able to assist SKF expand its operations, but more importantly, keep such critical, high-technology jobs in the area that will contribute to the long-term sustainability and prosperity of both SKF's operations and the regional economy."
New York Power Authority president and CEO Richard M. Kessel said: "NYPA is pleased to provide SKF with the benefit of two megawatts of low-cost hydro power, which in turn will help preserve some 691 jobs in the Jamestown area. The NYPA Board and Governor Paterson have been extremely supportive of the Authority's efforts to utilize its hydropower to preserve and create as many jobs as possible. It's an important economic tool that is helping to preserve tens of thousands of jobs statewide."
Founded in 1907, SKF is the world's leading manufacturer in rolling bearing and related products and is represented in more than 130 countries. The company employs nearly 42,000 people and has more than 120 manufacturing facilities worldwide, with 25 plants and some 3,600 employees located in the USA. SKF Aeroengine N.A. includes the aerospace, specialty and remanufacturing businesses at Falconer and Jamestown, N.Y.; SKF Specialty Balls, in Colebrook, Conn.; and the SKF Aero Bearing Service Center in Charleston, S.C. Of the business unit's 842 employees, 691 are employed at its Jamestown and Falconer locations in New York State.
SKF Aeroengine North America is a leader in high precision, custom-engineered ball and roller bearings for critical aeroengine and specialty applications, including ball and roller bearings for helicopters, main shaft and gearboxes for jet engines and various types of aircraft power assemblies. Specialty products are custom-designed bearings for technically and environmentally demanding applications such as pumps, motors and power transmission assemblies. Since 1973, the Falconer plant has reconditioned ball and roller bearings to like-new condition for aircraft and engine overhauls.
