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Rich's to Reopen Buffalo Site, Add Jobs

Business First - by James Fink

A new deal between Rich Products Corp. and Island Oasis will see a recently-closed Buffalo manufacturing plant re-open and up to 90 new jobs created.

Under the terms of the agreement, Island Oasis will lease the 172,200-square-foot Niagara Street plant from Rich Products, with an option to eventually purchase the facility, said Tony Battaglia, Island Oasis president.Island Oasis, which makes fruit and dairy-based beverage products for multi-national food suppliers and retailers, will shift the operation to a Niagara Street plant that Rich’s closed last year. The 172,000-square-foot plant is located just across from Rich’s world headquarters and was the company’s first manufacturing facility.

The plant will be the second for the privately-held Island Oasis. The company has a plant in Byesville, Ohio that employs 140 people, Battaglia.

The key to the deal was bringing Island Oasis’ manufacturing to Buffalo.

“It’s important for companies like Rich’s to take an active interest in the community and we are proud to have created this opportunity to bring new jobs to Buffalo,” William Gisel, Rich’s president and chief executive officer said in a prepared release.

Initially 30 people will be hired, many of whom were Rich’s workers who were laid off when the Niagara Street plant closed last spring.

Gisel said eventually Island Oasis expects to add up to 90 workers at the plant.

Two shifts will be in operation at the plant by the end of the month. Other workers will be phased in.

“Our production environment process is fairly sophisticated and requires specific experience that we knew would be available in Buffalo,” said Michael Herbert, Island Oasis founder and chief executive officer. “The Buffalo employment market includes a very established manufacturing workforce and we are looking forward to tapping into the region’s unique talent pool.”

Battaglia said the talks between his company and Rich’s began last spring. Island Oasis had been scouting sites for a northeastern manufacturing plant to service such markets as New York state, Pennsylvania and Massachusetts.

Sitting on the border of Canada was another key factor, Battaglia said.

Island Oasis produces a number of frozen drink bases for such clients as McDonald’s, Red Lobster, Olive Garden and Applebee’s. Other products are in such drinks as strawberry daiquiris, pina coladas and smoothies.

Island Oasis already had a relationship with Rich Products, so the deal was a natural fit for both companies, Battaglia added.

“We could tell, almost immediately, that this facility was going to be useful for us,” Battaglia said.

Buffalo Mayor Byron Brown said his administration worked closely with Rich Products to help bring the deal to fruition. The city has promised to make some infrastructure improvements along Niagara Street including adding surveillance cameras.

“The best thing is that we have 90 new workers coming to Niagara Street,” Brown said. “This deal really bodes well for the future of that building.”
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