Posted on 01/08/2009, 12:43 pm, by mySteinbach

Loewen, a manufacturer of luxury windows and doors, is redesigning its Steinbach factory to become a model of lean manufacturing with the assistance of a $10-million secured, repayable provincial interest-bearing loan, Competitiveness, Training and Trade Minister Andrew Swan announced.
 
“The provincial government supports Manitoba employers taking the initiative to improve their competitiveness and keep jobs in Manitoba,” said Swan. “Loewen employees, the people of Steinbach and all Manitobans benefit from this initiative.”
 
“We are extremely excited to enter into this partnership with the provincial government and to continue to vigorously pursue our re-engineering plans in the face of challenging economic conditions,” said Charles Loewen, chief executive officer of Loewen Windows. “Based on results of the re-engineering completed to date, we are confident our targets are achievable and we will be very well positioned to benefit from the economic recovery in future years.”
 
When the $30-million overhaul is finished, Loewen expects to double plant capacity and achieve 30 per cent improvement in labour productivity, as well as increase quality and customer satisfaction.
 
“Loewen is moving steadily forward on its plan to re-configure its factory,” said Swan. “Once completed, the factory will have lean production processes for its various products. As a result, the company will be highly competitive and continue to expand its international market presence.”
 
The provincial government is providing the loan through the Manitoba Industrial Opportunities Program (MIOP), which offers secured, repayable loans to Manitoba businesses wishing to create or maintain jobs by expanding or upgrading their Manitoba operations.
 
The MIOP loan will be secured by Loewen’s assets in Manitoba. The interest rate charged is above the province’s cost of borrowing.