Department honoured for excellence in economic development

American magazine Business Facilities announced today that the Department of Industry, Trade and Technology has been awarded the second place, silver award in the Regional Economic Development Incentive Program Category of its 2000 Economic Development Achievement Awards Program.

Business Facilities is a monthly magazine written and edited for top-level executives involved in the selection of sites for their company�s facilities. The audience spans all industry and service sectors. Using a three-tiered scoring system focused on innovation, effectiveness, and pro-business impact, the editors of the magazine, along with a distinguished panel of site selectors, judged the entries. The judges, who will also serve as the magazine�s editorial advisory board for 2001, are each site selectors with varying amounts of experience in choosing new sites for their corporations.

Business Facilities awarded the department second place based on the judging of its Economic Diversification and Growth Enterprises (EDGE) program, which was initiated in 1995 in order to make the province one of the most attractive investment locations in North America.

"I am very pleased that the Department of Industry, Trade and Technology has been recognized for this prestigious award by Business Facilities magazine," said Industry, Trade and Technology Minister Sandra C. Kelly. "This is a positive affirmation that initiatives such as our EDGE program are effective in the international business community."

The EDGE program has attracted a wide spectrum of businesses to the province. Since it was established, close to 70 new companies have started or expanded operations, creating approximately 1,500 new jobs. In addition, more than $74 million has been invested to date.

Business Facilities noted that while such programs are common across the U.S., Newfoundland and Labrador is currently the only Canadian province to offer such incentives.

Donna Clapp, editor-in-chief of Business Facilities, summed up why this program is a winner by stating: "The EDGE program is very innovative by Canadian standards, and as such, it goes a long way in helping the province to compete against American states economically to attract expansions. I was impressed with the number of new companies that have diversified the economy in the province and I was also happy that this program clearly includes incentives for expansion of existing businesses in the province as well as new businesses. This helps to create a well-rounded, pro-business atmosphere."

Companies meeting EDGE criteria are eligible for a 10-year tax break from provincial corporate income tax and provincial payroll tax, followed by a five year phase-in of these taxes, unserviced Crown land for a nominal fee, and access to a facilitator who will help obtain the required permits and licences associated with start up or expansion. In addition, many of the province�s municipalities participate in the EDGE program and offer similar tax holidays from property and/or business tax.

The judges for the awards program were: Doug Aldrich, Global Manager of Laboratory Facilities, Dow Corning Corp.; Dr. Barry Hagan, Managing Director, ICL-Microsoft; Doug Noonan, Director of Corporate Real Estate & Facilities, Reebok Int.; Dana Olson, COO, ACI Telecentric; and Michael Stephani, CEO and President, Exotrope Inc.

For more information on the awards or Business Facilities, please call (800) 524-0337.

Media contact: Jacqueline Simon, Communications, (709) 729-0050 or Beth Sicignano, Marketing Director, (732) 842-7433 (ext. 222)

2001 01 11                                      10:00 a.m.