Hartford Business Journal

18 Hartford Business Journal • June 27, 2016 www.HartfordBusiness.com It's back to the lobbying board for CT manufacturers Shock and dismay can't begin to describe the reac- tion that Connecticut's manufacturing sector feels about lawmakers' failed attempt to override Gov. Dannel P. Malloy's veto of a measure that would have allowed them to use tax credits to fund training of the next-gener- ation of factory workers. Last week, the state House of Representatives called the bill to allow use of tax credits to fund manufacturing appren- ticeships for a veto over- ride, which passed 114-2, but the Senate failed to act on the measure. Specifically, the bill would have extended the $7,500 manufacturing apprenticeship tax credit to pass- through entities, allowing their owners and partners to claim the credit against their personal income taxes. The goal of the tax credit, its backers have said, was to help Connecticut manufacturers train more hands to fill a workforce shortage being felt nationwide. Malloy vetoed the measure citing cost concerns, includ- ing the estimated revenue loss to the state of about $100,000 starting in fiscal 2018. Douglas Johnson, owner of Marion Manufacturing Co. in Cheshire who sits on the boards of several key state and regional manufacturing and business lobbies, including the Smaller Manufacturers of Connecticut and Connecticut Business & Industry Association, was particularly vocal. "The largest disappointment,'' Johnson said via email, "is that we have fought hard for the last four years to level the playing field for smaller manufacturers by sponsoring and supporting new legislation, testifying in Hartford about the benefits of the tax credit and our training programs, and holding open-house events across the state so our local legislators can see what we manufacturers see and understand our needs first hand. But each of the past four years the legislators have found a way to kill our repeated efforts.'' – Gregory Seay Finalists will be recognized at an AWARDS EVENT on: September 8, 2016 at FARMINGTON GARDENS in Farmington, and in a SPECIAL ISSUE of the HARTFORD BUSINESS JOURNAL publishing September 12, 2016. NOMINATION DEADLINE: July 6, 2016 Nominate at: HartfordBusiness.com/CFO Presented By: Event Sponsors: Event Partners: Honor your Chief Financial Officer for their outstanding performance and commitment. The CFO of an organization is a vital and often overlooked position in creating business success. The CFO of the Year Luncheon honors these financial professionals for their commitment to excellence and outstanding performance. In addition to an awards event, winners will be recognized in a special issue of the Hartford Business Journal. Nominate your CFO today! For questions about this event please contact Amy Orsini at 860-236-9998, ext. 134 or aorsini@hartfordbusiness.com. #HBJCFO OPM, Hexcel deal value revealed How much is a minority stake in South Windsor's Oxford Perfor- mance Materials Inc. worth? Apparently $15.8 million, accord- ing to federal regulatory filings. Earlier this month the addi- tive manufacturer announced that Stamford's Hexcel Corp. agreed to buy a minority stake in the company, but both sides declined to disclose the finan- cial terms of the deal. But a recent filing with the U.S. Secu- rities & Exchange Commission shows OPM recently raised $15.8 million in an equity investment that a company spokesman con- firmed was from Hexcel. What still isn't clear is what percentage Hexcel now owns in OPM, making it difficult to calculate OPM's value. According to Oxford's CEO and Chairman Scott DeFelice, the Hexcel investment will help Oxford expand its production capacity. It also sets the stage for joint tech- nology collaboration and business development efforts, DeFelice said in a statement. Hexcel is a sup- plier of advanced composites for commercial aerospace, space and defense and industrial applications. Oxford uses Hexcel carbon fiber in the production of its 3D printed structural parts for a range of sat- ellite and aerospace programs. Oxford has 60 employ- ees and 50,000 square feet of manufacturing/R&D/office space in two South Windsor facilities. – Greg Bordonaro Oxford employees use lasers to sculpt parts made from a high-performance thermoplas- tic technology. Hannah Lenoce is an apprentice toolmaker at Cheshire's Marion Manufacturing Co., which Doug Johnson (left) owns. REPORTER'S NOTEBOOK P H O T O | H B J F I L E P H O T O | H B J F I L E

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