Government of Canada Awards $500,000 in Funding to Prelco Inc. for Productivity Enhancement

RIVIERE-DU-LOUP, QUEBEC--(Marketwire - Feb. 21, 2011) - The Honourable Denis Lebel, Minister of State for Canada Economic Development, today announced the awarding of $500,000 in repayable funding to the firm Prelco Inc. through the Temporary Initiative for the Strengthening of Quebec's Forest Economies (TISQFE) to improve its productivity.

"In addition to maintaining jobs, increasing its productivity will help Prelco be more competitive and better equipped to respond to current challenges caused by the global economic situation," explained Minister of State Lebel.

Prelco Inc. specializes in the manufacture of complex sealed safety glass units. As part of this project, the firm will install a new automated sealed unit production line, replace software and refurbish the interior of its facility. This modern equipment will accelerate its rate of production and help boost its competitiveness, enabling it to better measure up to the competition. Because it develops new glass products for a wide range of industries, Prelco plays an important role in diversifying the Bas-Saint-Laurent economy.

About the TISQFE

In force since last June, the Temporary Initiative for the Strengthening of Quebec's Forest Economies was established to help communities affected by the forestry crisis diversify their economies in order to secure their development and create and maintain employment. The measure's aim is also to support the viability and sustainable growth of the small and medium-sized enterprises (SMEs) in these communities.

"The TISQFE is working very well. I am delighted that we are well on our way to reaching our goal of investing $50 million in Quebec in the first year of the initiative," the Minister of State concluded.

This measure is one of many put in place by the Government of Canada in recent months to counteract the effects of the forest crisis. Others include the two-year $1 billion Community Adjustment Fund to mitigate the impacts of the crisis, the $1 billion granted to the Pulp and Paper Green Transformation Program, to help enterprises carry out environmentally-friendly projects, and the investment of $230 million in collaboration with the Government of Quebec for silvicultural work and the restoration of bridges and culverts on multi-use forest roads. Workers have also benefited from their fair share of support, with the Government of Canada introducing some of the most generous measures in history to help them through the economic crisis.

Canada Economic Development is online at www.dec-ced.gc.ca. Subscribe to the Agency's media advisories at http://www.dec-ced.gc.ca/eng/media-room/mailing-list/list.html to keep up with the latest news.