Naugatuck-Based Aerospace Components Manufacturer Receives Loan

Editor's Note: The following news release comes from First Niagara Financial Group

First Niagara Financial Group (Nasdaq: FNFG) announced today that it has completed a $2.7 million financing package to SAF Industries, a limited liability corporation (LLC), which operates from a 44,000-square-foot facility in Naugatuck, under the trade name .

The package consists of a $1.6 million term loan, an $850,000 line of credit (LOC), and a $250,000 capital expenditures facility. SAF will use the term loan to refinance other existing loans and equipment leases, thereby reducing its cost of borrowing. The LOC allows SAF to refinance its existing credit line, and will allow the company to fulfill short-term working capital needs.

By partnering with First Niagara, SAF Industries feels it has positioned itself for future growth.

“From start to finish, First Niagara understood our needs and objectives and delivered on each and every term outlined in their commitment letter,” said Steve Fournier, Founder of SAF Industries. “Every detail was handled efficiently and there were no surprises when we came to the closing table. First Niagara has become, not just our lender, but a trusted advisor throughout this process.”

With more than 60 years in the aviation industry, Gar Kenyon is a leader in the design, manufacturing, assembly and testing of advanced, high-quality, hydro-mechanical, electromechanical and mechanical components and assemblies for aerospace. The company’s experience and expertise has made it an important industry source for hydraulic and pneumatic aerospace components. In 2010, Gar Kenyon was named “Manufacturer of the Year” by the Greater Waterbury Chamber of Commerce.

“As a thriving aerospace and defense supply company, SAF Industries was looking for a lender that understood its business goals, and was prepared to provide expert advice on how it could achieve those goals. We were pleased that we were able to fulfill their needs,” said David Ring, New England Regional President of First Niagara. “We look forward to supporting SAF in the coming years as they continue to grow their business.”

Gar Kenyon is a long-term supplier to numerous aerospace and defense manufacturers as a primary source for master brake cylinders, parking brake valves, shuttle valves, restrictors, shutoff valves, safety relief and check valves. The company’s product offerings also include main landing gear door actuators, flap actuators, potable water fill-valves and accumulator gauges.

In November of 2011, Gar Kenyon expanded its product line with an acquisition of General Pneumatics Corporation of New Jersey.

“Steve Fournier is an ideal client and the epitome of a successful businessman,” said Allison Standish Plimpton, Vice President of Business Banking for First Niagara. “He is able to discuss and explain his business, both from a high-level perspective, all the way down to the nuts and bolts of everyday operations. It was wonderful working with him.”

About First Niagara

First Niagara, through its wholly owned subsidiary, First Niagara Bank, N.A., is a multi-state community-oriented bank with nearly 430 branches, approximately $35 billion in assets, $28 billion in deposits, and approximately 6,000 employees providing financial services to individuals, families and businesses across Upstate New York, Pennsylvania, Connecticut and Massachusetts. For more information, visit www.firstniagara.com.