Government of Canada Invests in Border Security and Logistics in Windsor

WINDSOR, ONTARIO--(Marketwired - Oct. 2, 2013) - Today, the Honourable Gary Goodyear, Minister of State for the Federal Economic Development Agency for Southern Ontario (FedDev Ontario), announced an investment from the Government of Canada that will benefit the advanced logistics and border security cluster in southwestern Ontario. Minister Goodyear was joined by Jeff Watson, Member of Parliament for Essex; his Worship Eddie Francis, Mayor of the City of Windsor; and Dr. Alan Wildeman, President and Vice Chancellor of the University of Windsor.

The announcement, made at the Windsor International Airport, centred around two collaborative projects between the University of Windsor and the Windsor International Airport "Your Quick Gateway" (YQG).

"Our Government's top priority is creating jobs, growth and long-term prosperity for all Canadians," said Minister Goodyear. "By investing in research for faster, safer ways to move goods and people across international borders, our Government is not only helping to create high-quality jobs in Windsor, but we are also positioning this region to be a leader in the increasingly important field of border logistics and security."

"What an exciting day for our city," said MP Watson. "Today, our Government has demonstrated considerable support for Windsor's economy, and has also shown confidence that this region has the skilled individuals and resources to become diversified, and economically prosperous in the long term."

The Government of Canada's $19.9-million contribution in these two projects will assist in the establishment of an Institute for Border Logistics and Security (IBLS), which will allow Windsor to become a world-leader in cross-border logistics and security, supply-chain expertise and related technology development. The City of Windsor and the University of Windsor will be able to establish the IBLS, which will include a facility on the University's campus dedicated to research and development support for businesses, and a facility at the Windsor International Airport aimed at providing real-world testing for new technologies in the logistics sector.

These projects, through FedDev Ontario's Prosperity Initiative, will directly create an estimated 105 jobs.

This initiative will also include the construction of a multi-modal cargo terminal at the Windsor International Airport. This initiative will support the development of a Windsor/Detroit logistics corridor that has the potential to create thousands of jobs in the long term, and build on the strengths of the region while diversifying the area's economy and industries.

Your Quick Gateway has recently signed a lease agreement with FedEx, adding weight to the logistics project at the Windsor airport and demonstrating the kind of businesses that Windsor hopes to attract and keep as part of this hub.

"The Institute for Border Logistics and Security aligns directly with the University of Windsor's strengths and our location on a unique major international border," said Dr. Wildeman. "With FedDev Ontario's investment, we are forging a strong partnership with the City of Windsor. The IBLS will help our region pursue strategic opportunities that build on our location, and that develop long-term expertise on border issues important to our region and our country."

"I want to thank Minister Goodyear for continuing to champion economic development in our region and for the Government of Canada's continued investment in the long-term economic future of our city," said Mayor Francis. "This investment helps to ensure that our economic diversification strategy continues and that, together with our partners at the University of Windsor and FedEx, our region is positioned to be a key and critical hub of logistics, international trade and border security," he added.

For more information on these projects and the Prosperity Initiative, please see the backgrounder.

Created in 2009, FedDev Ontario supports the southern Ontario economy by building on the region's strengths and creating opportunities for jobs and economic growth. In Budget 2013, the Government of Canada demonstrated its continued commitment to workers, families and communities in southern Ontario with the renewal of FedDev Ontario. Economic Action Plan 2013 provides $920 million over five years for the Agency, starting on April 1, 2014. As part of the renewal, FedDev Ontario will be allocating $200 million over five years for a new Advanced Manufacturing Fund in Ontario.

As outlined by the Prime Minister, the Government of Canada remains focused on what Canadians care most about: their families, the safety of our streets and communities, their pride in being a citizen of this country, and their personal financial security.

To learn more, please visit www.FedDevOntario.gc.ca or call 1-866-593-5505.

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IF THERE IS A DISCREPANCY BETWEEN ANY PRINTED VERSION AND THE ELECTRONIC VERSION OF THIS NEWS RELEASE, THE ELECTRONIC VERSION WILL PREVAIL.

This news release is available online at: www.FedDevOntario.gc.ca.

Backgrounder

Contribution to the University of Windsor and Your Quick Gateway

The Federal Economic Development Agency for Southern Ontario (FedDev Ontario), through its Prosperity Initiative, is making an investment of $19.9 million in Windsor's border logistics, security and trade sector, and the long-term economic well-being of the region.

The Agency is providing the University of Windsor with a non-repayable contribution of up to $7.3 million to establish the Institute for Border Logistics and Security (IBLS) which will include the development of a facility at the University of Windsor that will be mainly dedicated to providing research and development and support services to existing and new businesses.

The project will cultivate the development of new concepts in logistics and border security through research and development. The IBLS will also work with SMEs to undertake research and development of new products with the goal of prototyping, real-world testing, and commercializing to the global market. This will position the region to become a world-leader in cross-border logistics and research and, ultimately, attract new business and investment to Windsor-Essex in the long term.

Founded in 1963, the University of Windsor is home to more than 16,000 students, and is located beside North America's busiest international border crossing, making it an ideal leader for research into the border logistics sector.

The Agency is also providing a non-repayable contribution of $12.6 million to Your Quick Gateway (YQG) Inc. YQG is a corporation owned by the City of Windsor, which operates Windsor International Airport on behalf of the City. In addition to this, City of Windsor's financial contribution will be $2.4 million.

FedDev Ontario's investment in YQG will assist with the following elements of the project:

• A 10,000-square-foot facility at the Windsor International Airport that will house researchers who will work with small- to medium-sized enterprises (SMEs) to provide "real world" testing of new technologies in the logistics sector. IBLS' administrative offices will also be housed at this location.
• YQG will construct a 35,000-square-foot building at the Windsor International Airport, which is being leased to FedEx for new cargo handling business, as well as a 27,000-square-foot building available for lease to other companies attracted to the airport/FedEx cluster.

To facilitate cooperation on cross-border security and logistics issues, and accommodate potential future expansion, FedEx has entered into a long-term lease agreement with YQG related to space on lands adjacent to the IBLS. The addition of FedEx as a cornerstone tenant in the logistics and border security cluster at Windsor airport is a critical first-step in ensuring the long-term success of this new cross-border initiative, and is indicative of the potential and scope of the cargo project.

Windsor is situated at one of the busiest border crossings in the world with approximately $400 million in goods crossing the border daily. Together, these projects represent a significant investment in the development of the Detroit-Windsor corridor, which has the potential to create thousands of jobs in the long term. The importance of the relationship between Canada and the United States has been acknowledged by Prime Minister Harper and President Obama as part of a shared vision for security and economic competitiveness for both countries. This includes the mutual goal of deepening our partnership and enhancing our security, prosperity and economic competitiveness while respecting each other's sovereignty.

For more information, please visit www.uwindsor.ca or www.yqg.ca.

Prosperity Initiative

FedDev Ontario's Prosperity Initiative, as part of the Southern Ontario Advantage initiatives, is encouraging businesses, not-for-profit organizations and post-secondary institutions in southern Ontario to undertake projects resulting in a more productive, diversified and competitive economy in the region.

To date, over $420 million in funding has been committed to over 240 projects under the Southern Ontario Advantage initiatives, resulting in partnerships with more than 5,000 organizations, and over $1.2 billion in additional leveraged investments from almost exclusively non-government sources. All funding for the Advantage initiatives has been committed.

For more information please visit the website at www.FedDevOntario.gc.ca.