BOSTON, June 10 /PRNewswire/ -- Sovereign Bank New England CEO Joseph P.
Campanelli and Massachusetts State Treasurer Timothy P. Cahill today announced
that three companies in Devens, Mass., will be adding 150 new jobs over the
next few years. The announcement reflects the first small business loans made
through the Massachusetts Job Foundation Loan Program, jointly announced in
February as part of Treasurer Cahill's Job Growth Task Force. Sovereign's
program provides up to $200 million in low-cost loans to Massachusetts small
"At Sovereign Bank, we feel strongly that it is our job to be a partner
with the Commonwealth, to help grow and retain stable jobs. Today's
announcement shows that by working together to make capital available to small
business, together we can help them grow and get to the next level of
success," said Campanelli, who was also a task force member. "The program is
about creating new jobs, as well as keeping jobs here in Massachusetts," he
To date, Sovereign has taken applications from approximately 30 companies
for $65 million in financing that will mean the creation of an estimated 360
jobs in Massachusetts.
"There are many small and growing companies in Massachusetts without
access to capital, and therefore without opportunities to grow, add jobs, and
put more people to work in the Commonwealth. The Massachusetts Job Foundation
Loan Program provides the capital necessary to help businesses grow and become
more competitive," said Treasurer Cahill. "What is particularly notable about
today's announcement is that these three companies will add valuable, well-
paying engineering and manufacturing jobs to the area."
Today's announcement was made at Xinetics Corporation, Devens, Mass.,
which develops and manufactures precision optical products and systems for the
U.S. government and other commercial customers. Xinetics will receive $2.5
million from the Massachusetts Job Foundation Loan fund and will add up to 40
new jobs over the next two to three years in the field of engineering and
other technical areas. Xinetics was the first company to locate at Devens in
1996 after it was converted to a commercial center from a former U.S. Army
"Xinetics is a true success story as one of the pioneer companies to
locate at Devens," said Xinetics President Mark A. Ealey. "The financing from
Sovereign Bank will allow us to expand in the new frontier of nanotechnology
which may fuel the future economic growth of Massachusetts. When we started
our business in 1993 with two employees, we could never have envisioned our
growth to 80 employees today and soon to be more than 100 with the help of
Another Devens company, Waiteco Machine, is projecting to add seven to ten
jobs over the next three years with a loan of $2.0 million. Waiteco was
recently purchased by new owners, Karl Koch and Peter Mendes, who are also
veterans of the local high tech industry. One of the companies that they
competed with to buy Waiteco was a South American firm, which made no
guarantees of future job growth or retention of the Devens facility.
"We are grateful that Waiteco is able to take part in this new loan pool
and to continue to serve our customers with the finest in precision machining
technology," said Waiteco President, Karl Koch, adding, "As long time
Massachusetts residents, we were thrilled to be able to purchase a local
manufacturing company and help retain these scarce jobs in our state."
"Without the financing and jobs credit from Sovereign, we would not have had
the resources needed to invest in the new capabilities required to support the
job growth," said Waiteco Vice-President Peter Mendes.
Sovereign also announced the financing of a $4.3 million tax exempt bond
through MassDevelopment to Barnum Realty, LLC and Devens CPL, LLC of Devens,
Mass. who will construct a new 22,122-square-foot central baking facility at
the Devens Industrial Park for Dunkin' Donuts to serve four local franchisees.
The new facility will produce donuts to deliver to approximately 100 stores
throughout northeastern Massachusetts. The project is expected to create
approximately 100 jobs. MassDevelopment is the Commonwealth's quasi-public
economic development authority.
Sovereign Bank's Massachusetts Job Growth Program provides loans ranging
from $250,000 to $2.5 million with flexible terms and favorable rates.
Sovereign has a streamlined application process for rapid decision-making and
loan funding. The program offers tailored, flexible repayment terms and
amortization options, including extended terms for real estate and interest-
only payment options for one year. There are no pre-payment penalties.
About Sovereign Bank
Sovereign Bancorp, Inc., ("Sovereign") (NYSE: SOV), is the parent company
of Sovereign Bank, a $59 billion financial institution with more than 650
community banking offices, over 1,000 ATMs and approximately 10,000 team
members with principal markets in the Northeast United States. Sovereign
offers a broad array of financial services and products including retail
banking, business and corporate banking, cash management, capital markets,
trust and wealth management and insurance. Sovereign is the 19th largest
banking institution in the United States. For more information on Sovereign
Bank, visit http://www.sovereignbank.com or call 1-877-SOV-BANK.
About Xinetics, Inc.
Xinetics is a small business, founded in 1993 to preserve critical
defense-related active materials technologies, for the U.S. Military and other
commercial customers, to develop them into commercial precision motion-control
products. Xinetics started in Littleton, Mass, in a single facility of 2,500-
square-feet. The company currently occupies three buildings with a total of
130,000-square-feet located in Devens, Mass. For more information visit
About Waiteco Machine, Inc.
Waiteco Machine, established in 1982, is a full-service manufacturer and
assembler of precision machined components. The company serves a variety of
industries, including semi-conductor, aerospace, wireless microwave,
automotive and medical. Waiteco features state-of-the-art CNC machine
technology, stringent quality standards and a unique proactive approach to
customer service. For more information visit http://www.waiteco.com.
SOURCE Sovereign Bank