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Powell Equip. expands despite machinists strike.

Powell Equip. expands despite machinists strike

In the face of a lengthy machinists strike, Powell Equipment in Thunder Bay is still expanding its facilities and production line.

FedNor has given Powell a $423,300 contribution for a $3.3-million expansion of the heavy equipment sales and service company's operation in Thunder Bay. A condition of the grant was that Powell would hire 25 employees in addition to the branch's present 98.

"We're committed to northwestern Ontario, as shown by a 50-per-cent capacity expansion here," said Powell president Ken Childerhose.

The Powell operation in Thunder Bay conducts one-third of the company's business in Canada. The company also has offices in Winnipeg, Brandon and Thompson, Man.

The expansion, designed to increase Powell's capacity to remanufacture forestry equipment, began last fall.

Powell, a Winnipeg-based firm, also rents, sells and services new equipment, primarily to the woodlands industry. Its primary product line is Caterpillar.

In Thunder Bay Powell sells and services road building equipment, truck engines, woods harvesting machinery, forklifts and electrical power engines. Ship engines can also be serviced in port.

However, the servicing end of the business at Powell Equipment has almost ground to a halt since the machinists went on strike four months ago. Equipment requiring service has been moved to another yard in Thunder Bay.

Strike action at Thunder Bay's three Abitibi-Price mills and Canadian Pacific Forest Products' mill has also hurt the Powell operation.
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Title Annotation:Thunder Bay Report
Author:Merits, Roxanne
Publication:Northern Ontario Business
Date:Nov 1, 1990
Words:235
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