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NEW POWER AUTHORITY ALLOCATIONS LINKED TO 6,800 MANUFACTURING JOBS IN STATE

 SCRIBA, N.Y., Aug. 31 /PRNewswire/ -- New York Power Authority Chairman Richard M. Flynn said Tuesday that more than 6,700 jobs would be protected in New York State through the allocation of low-cost Power Authority electricity to four major manufacturers.
 In addition, Flynn said the power could create 100 new jobs at one of the companies, in Elmira.
 "Manufacturing companies are vital to the strength of New York's economy," Flynn said. "We want to help keep them in the state, and encourage them to expand, so they can continue to provide jobs."
 The four companies are:
 -- International Business Machines Corp. (IBM), Endicott, Broome County: 20,000 kilowatts (kw), 6,000 jobs.
 -- Anchor Glass Container Corp., Elmira, Chemung County: 6,000 kw, 325 jobs protected, 100 created.
 -- Lipe-Rollway Corp., Liverpool, Onondaga County: 1,000 kw, 280 jobs.
 -- Playtex Family Products Corp., Watervliet, Albany County: 1,500 kw, 151 jobs.
 The allocations to IBM and Anchor Glass are contingent on an agreement with New York State Electric & Gas Corp. to deliver the power. The agreement would be subject to approval by Gov. Mario M. Cuomo.
 Power Authority trustees approved the allocations in a meeting Tuesday at the James A. FitzPatrick Nuclear Power Plant in Scriba, near Oswego. The FitzPatrick Plant will supply the power to the four companies.
 The allocations had been recommended by the state Economic Development Power Allocation Board, which Flynn also chairs.
 Also on Tuesday, the trustees approved transfer of an allocation to Smith Barney Shearson, a new brokerage in New York City, from the former Shearson Lehman/American Express Inc. The new firm, formed from the sale of the Shearson brokerage unit and its merger with Smith Barney, will continue Shearson/Lehman's commitment to protect 2,500 jobs in return for the power.
 The trustees reduced the previous Shearson Lehman allocation from 16,000 kw to 12,000 kw, freeing additional power for use by other companies agreeing to create or protect jobs.
 IBM develops and manufactures various electronic products at its Endicott plant, which, according to the company, has the highest power rates of any IBM manufacturing facility in the United States.
 The five-year allocation would help the plant compete against other IBM facilities for new projects. The 6,000 Endicott jobs would represent an annual payroll of $200 million.
 Anchor Glass manufactures glass containers for consumer products. The Elmira plant has two operating furnaces, and Anchor has proposed rebuilding a third furnace that is now idle.
 The power allocation would be in two parts. For 4,000 kw, Anchor would commit to maintain 325 jobs during the five-year agreement. An additional 2,000 kw would help create another 100 jobs for a 10-year term if the third furnace is rebuilt.
 The Rollway Bearing Division of Lipe-Rollway in Liverpool manufactures ball and roller bearings. It has developed a business revitalization plan to increase its private sector orders and counteract a drop in defense contracts.
 The Tek Hughes Division of Playtex Family Products Corp. in Watervliet makes plastic components used at Playtex facilities in Delaware. High operating costs had raised the question of moving the Watervliet operation to Delaware, where electricity costs are significantly lower.
 The allocations for Lipe-Rollway and Playtex are each for five years. The Niagara Mohawk Power Corp. will deliver the power.
 The allocations are part of Flynn's "Power for Jobs" program, which calls for companies to make specific job commitments in return for the electricity.
 Overall, Power Authority electricity now protects about 170,000 jobs statewide.
 -0- 8/30/93
 /CONTACT: Laurence Frech of New York Power Authority, 212-468-6351/


CO: New York Power Authority ST: New York IN: UTI SU: ECO

TW -- NY039 -- 7525 08/31/93 12:52 EDT
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Date:Aug 31, 1993
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