Province to Support Britex

Nova Scotia's Economic Development department will provide a $750,000 instalment on a loan to Britex, a Bridgetown-based elastics manufacturer.

The instalment will enable the company to deal with a cash flow problem that arose during a recent expansion. The company employs 240 people and is the largest employer in the Annapolis Valley community.

"This is an investment in 240 jobs in rural Nova Scotia," said Economic Development Minister Gordon Balser. "We've had a close look at the company that included a review by an independent financial consultant. We all agree that Britex can have a very good future."

The instalment is part of a $4.9-million loan that was authorized in April. The money was for an expansion of the facility and new equipment and to cover the costs of exporting into new markets. The department had previously disbursed $2.5 million.

"Britex has some large orders and it has been growing," said Mr. Balser. "This portion of the loan will let the company manage its way through a cash flow crunch, to pay its bills so it can fill those big orders."

The company is taking other measures to make sure it has the best chance to succeed and flourish. Britex will soon appoint a board of directors of experienced business people to help with long-term planning and direction. Economic Development will have an observer on the board.

"Britex has a long and distinguished history here in the Annapolis Valley," said Sandy Archibald, president and CEO of Britex. "This short-term assistance is giving us the resources necessary to solidify our existing markets and to pursue growth opportunities."

Britex manufactures products for the intimate apparel industry. The company began operating as United Elastics Ltd in 1959.