Foss plans to add 40-45 jobs in Hampton

Foss Manufacturing, the Hampton-based manufacturer that emerged from bankruptcy in 2006, plans to add another 40 to 45 workers with the help of a $1.6 million refinancing deal using federal money via the New Hampshire Business Finance Authority and the Coastal Economic Development Corp.The Executive Council approved the financing Wednesday, with Councilor Raymond J. Wieczorek commenting that the “organization has had quite a turnaround.”Indeed the company — a maker of industrial non-woven fabrics and specialty synthetic fibers — once primarily served the cyclical auto industry, but now employs 330 workers who provide fabrics to a variety of industries.The BFA received the funds through the $1.6 billion State Small Business Credit Initiative, created by the Small Business Jobs Act signed by President Obama in September 2010.The BFA can lend the money at a 2 percent rate to a economic development corporation, which can then turn around and lend it to various companies at rates as high as 8.5 percent, depending on how risky the loan.The development corporation keeps the difference so it can make other loans in the future, said Mike Donahue, senior credit officer with the BFA.In this case, the CEDC will lend Foss the money at a 6 or 7 percent rate to help the company restructure some long-term debt. The loan will enable Foss to replace a costly letter of credit to secure a lease on the building, Donahue said. — BOB SANDERS/NEW HAMPSHIRE BUSINESS REVIEW