A new deal will keep people building ships in South Philadelphia. State funding helped make sure the shipyard keeps operating.
A $42 million investment from the state will purchase all the shipbuilding equipment currently in place at the Navy Yard, and in turn Aker Philadelphia will construct two new oil tankers. Manny Stamatakis is Chairman of the Philadelphia Shipyard Development Corporation. He says the deal will keep about 300 existing jobs and gradually add 400 people.
“The thinking here is the economy is starting to turn the yard has opportunities to build ships beyond the next two,” said Stamatakis. “This will give them some time to secure additional orders so that they can have a constant flow of work down there.”
Stamatakis says the deal also calls for Philadelphia to defer collecting eight million dollars in taxes. Former Governor Ed Rendell helped put together the arrangement, but this funding was approved by Governor Tom Corbett.