A new engineering company has been formed, saving nine jobs from a collapsed firm.
Wolverhampton-based Federal Aerospace Engineering Limited was formed in response to the closure of US-owned Federal Resistance Welding (FRW) in April 2009.
The new company, which is located in Cable Street, provides a machining and manufacturing service to Rolls-Royce, BAE Systems and Goodrich as well as to customers previously supplied by FRW.
Federal Aerospace’s managing director and experienced local businessman Ivor Dring, seized the opportunity to create the new business, acquiring some of FRW’s machinery and taking on nine of its 12-strong workforce.
He has also pledged to invest in a new plant and machinery to drive forward the fledgling firm.
Mr Dring said: “This is an exciting time for us. The creation of our new company and the investment we’ve been able to make has created nine new jobs in the first year of trading, which is great news for local workers.
“The new computer programmed machinery allows us to provide a truly precision service, which meets the high specification requirements of the aerospace industry.”
The project was made possible through the support of regional development agency Advantage West Midlands, who provided a £92,000 Grant for Business Investment, which levered in more than £250,000 of private sector investment.
Mr Dring said the new company would not have been possible without the support from the agency.
He added: “We have a great team of experienced and highly skilled fabrication and machining experts. It is their many years experience supplying the aerospace industry with specialist machining, assembly and test equipment, jig fixtures and other devices that will power the new company to great heights.”
Stuart Parkes, grants officer at Advantage West Midlands, said: “Federal Aerospace is to be congratulated for its entrepreneurial spirit and commitment to invest. It is precisely this type of energy and targeting of high-tech, high-value industries that will help the West Midlands economy recover faster and become stronger for the future.
“In line with the Manufacturing Support Strategy and West Midlands Economic Strategy, this is also a great example of how Advantage West Midlands is supporting projects that deliver strong returns on investment, safeguard jobs and keep manufacturing expertise thriving in the West Midlands.”