Published: November 21, 2008 07:18 pm            

Funds expand local company

Loan to allow 23 percent job growth in next 5 years

BLUEFIELD, Va. — In contract to a nationwide trend driven by a slowing national economy, Pemco Corp., a Tazewell County manufacturing concern that builds industrial power distribution centers and transformer equipment for a variety of industries including coal mining, will be undergoing another expansion project with the help of a $557,363 loan from the Virginia Coalfield Economic Development Authority.

“We really want to thank Pemco for what you do for our community,” Jonathan Belcher, executive director of the Virginia Coalfield EDA said during a loan closing ceremony Friday morning at Pemco’s plant in Bluefield, Va. “This is the third time we have assisted this corporation with an expansion project, which we see is as a testament to this company.

“Our 16-member board is delighted to help,” Belcher said. “This is another example of teamwork that makes things happen.” Expansion and job creation are VCEDA priorities. The expansion will enable Pemco to grow its number of employees by 23 percent over the next five years, according to a VCEDA press release.

Pemco traces its origins to 1960, and while the company started out making power distribution centers for the coal industry, Pemco now has a broad customer-base, according to Robert Shireman, Pemco chief financial officer. The company has one plant. Shireman said Pemco expects to add new employees as a result of the expansion.

“Pemco is a home-grown business,” Walter L. “Buck” Sowers said. Sowers is chairman and chief executive officer of Pemco. He said that 54 percent of Pemco is employee-owned through the company’s Employee Stock Ownership plan. “The Coalfield EDA isn’t making a loan to one company, but to many people who are trying to make their community a better place.”

David Anderson, eastern district representative on the Tazewell County Board of Supervisors expressed the county’s pride in Pemco’s success. “This town and county couldn’t survive without businesses like yours,” Anderson said. “It’s nice to see businesses grow in economically challenging times like these.”

Jim Boyd, chairman of the Tazewell County Industrial Development Authority said he has been proud of Pemco for almost 50 years. “Buck (Sowers) is to be commended,” Boyd said. “This business has had an impact on this area.”

Margie Douglass of the Tazewell County Economic Development Authority said successful businesses like Pemco stimulate other success stories in the county. “You guys make it easy for us,” Douglass said.

Jeff Forlines of First Century Bank expressed thanks on behalf of the bank for Pemco’s investment in the community. “Pemco and First Century has a long history of working together for the betterment of the community,” Forlines said.

VCEDA helped Pemco with a $200,000 expansion loan in 1997 and a $400,000 loan in 2003. According to a VCEDA news release, Pemco now has 113 full time employees and is expected to grow to 138 employees over the next five years. The expansion will also enable Pemco to retain 25 manufacturing jobs, according to the press release.

— Contact Bill Archer at barcher@bdtonline.com

        

• Click to discuss this story with other readers on our forums.