Buffalo, NY – Niagara Ceramics, a manufacturer of commercial grade dinnerware, has completed its purchase of the manufacturing assets of Buffalo China from Oneida Ltd. The company will begin production at its new facility on Sunday and hire 180 employees in the coming year.
"Niagara Ceramics' decision to purchase Buffalo China not only will ensure the company continues to remain in Western New York, it will keep vital manufacturing jobs a part of the region's economy," Governor Pataki said.
As part of Niagara Ceramics' $7.25 million project, $5.5 million will be allocated for the building, machinery & equipment and unfinished inventory, while the remaining funds will be used for working capital purposes. The company will continue to produce commercial grade dinnerware for three-star and four-star restaurants, hotels, cruise lines and institutional food service providers, as well as commercial strength dinnerware for the home and collector pottery pieces. The company has an agreement with Oneida Ltd. to supply dinnerware to them.
"We would like to express our thanks to local and state government leaders whose assistance helped make this transaction possible," Robert Lupica, President of Niagara Ceramics said. "They were able to see the potential of the new company and put together a creative financing package that provided the necessary assistance to close on the purchase.
"Without the help of these agencies and Greater Buffalo Savings Bank this transaction would not have occurred. They helped save the jobs at Niagara Ceramics."
In an announcement on October 31, 2003, Oneida Ltd. had decided to close the Buffalo facility, along with four other factory sites. With the prospect of the plant closing, Lupica, along with his management team, designed a plan to purchase the company. The purchase transaction involved many government agencies, private equity investments, and traditional bank financing through Greater Buffalo Savings Bank.
Niagara Ceramics is eligible to apply to Empire State Development for a $500,000 Capital Grant to offset costs related to the company's machinery acquisition and facility. In addition to the state's grant, Niagara Ceramics is also receiving incentives from New York State's Empire Zone Program; a $350,000 loan from the City of Buffalo (BERC); a $750,000 loan from the ECIDA; low cost hydropower from the New York Power Authority; and training grants from the Erie County WIB and Erie County.