Exeter, Luzerne County, PA -
PowerRail, a manufacturer and distributor of locomotive parts for the rail industry, will expand its existing Luzerne County operation and bring 35 new jobs to Luzerne County, Department of Community and Economic Development (DCED) Acting Secretary Neil Weaver announced Wednesday.
PowerRail purchased an existing facility at 182 Susquehanna Ave. in Exeter, PA and is also planning to consolidate certain aspects of their business from other locations. The new facility will house PowerRail's consolidated operations and serve as its headquarters, which are currently located in Duryea.
"We are pleased to have them expanding in Pennsylvania and committed to creating good, reliable jobs and economic impact for the NEPA region," said Governor Tom Wolf in a release issued Wednesday. "This investment in PowerRail is an investment in the future."
PowerRail received a funding proposal from DCED for a $1.75 million Pennsylvania Industrial Development Authority (PIDA) loan and a $105,000 Pennsylvania First grant. The company has committed to investing at least $5.4 million into the project, creating 35 new jobs and retaining 76 existing jobs over the next three years.
"When I first started this company 19 years ago, we were simply a distributor," said PowerRail CEO and Chairman of the Board Paul Foster. "Over the years, our business model has changed, and now we are much more than that. Today we are manufacturing and re-manufacturing parts and components, and we're distributing them globally. This new facility will allow us to continue to grow and provide our customers, both domestic and international, with the quality and service they have come to expect from PowerRail."
The project was coordinated by the Governor's Action Team, an experienced group of economic development professionals who report directly to the governor and work with businesses that are considering locating or expanding in Pennsylvania.
"NEPA Alliance is excited to work with the Governor's Action Team and DCED to assist PowerRail in its expansion and consolidation here in our region," said Stephen Ursich, Vice President of Business Development Services for NEPA Alliance. "We have worked closely with all parties involved to create an attractive package to assist them in this very important project."
State Rep. Mike Carroll, D-Avoca, said PowerRail's decision to relocate to a larger facility within Luzerne County is additional evidence of the positive economic atmosphere that has been created here in northeastern Pennsylvania.
"Equally important, the facility being vacated in Duryea is being added to the footprint of an existing business that also needs additional space," Carroll said.
State Sen. John Yudichak, I-Swoyersville, said the Governor's Action Team's most recent annual report indicated that northeastern Pennsylvania was number one in the commonwealth in both job creation and job investment.
"Specifically, NEPA was strong in the manufacturing sector as it led the state with the creation of more than 1,300 new manufacturing jobs over the past year," Yudichak said. "PowerRail's significant investment of more than $5 million along with the state's investment continues the collaborative trend ongoing in our region of public and private partnerships creating and retaining jobs at a historic rate."
Reach Bill O'Boyle at 570-991-6118 or on Twitter @TLBillOBoyle.
