Address by Mr. Noel Treacy, T.D., Minister for Science, Technology and Commerce on the Occasion of the Official Opening of (MSL) Manufacturers Services Ltd., Parkmore Industrial Estate, Galway, on Monday 16th October, 2000 at 2.30 pm.

I am delighted to be here today, to officiate at the opening of MSL who have constructed a new greenfield facility, here in Galway.

This new facility supported by IDA Ireland and located on the IDA Ireland’s Parkmore Industrial Estate, will create 600 Jobs, at full production in a new Manufacturing and Systems Assembly Operation.

I know that the Project here in Galway, is proceeding very well and that the company has already exceeded its target of having 150 People Employed here by the end of the year.

Today is another significant milestone in the story of MSL. The MSL operations here in Ireland have come a long way in the seven years since they acquired the Omnitron facility in Athlone. Not alone have they developed that operation from a base of 100 to about 350, but now they are expanding westwards, to Galway.

The development of MSL globally is also a story of success and one which, because of Kevin Melia’s involvement, we like to claim as an Irish success story. It is a particular pleasure for me to welcome to Galway a company which is a major player in the OEM industry. From their beginnings less than a decade ago, I understand that MSL is now in the top ten worldwide in its industry sector. In that time, the company has grown throughout the world and today has revenues of almost $1Billion and over 5,000 employees.

I had the pleasure of meeting Kevin Melia in Boston last year and I would like to welcome Kevin and MSL to my native County. I regard your decision to come here as a vote of confidence in the economic future of Galway, and of the West of Ireland in general.

This Investment here in Galway, in establishing a new Design Services Centre, to provide Customers with an increased range of Value Added Services, such as PCB Design and Prototyping, is in addition to the Company’s ongoing Manufacturing Capabilities.

This Project fits within this Government’s Strategy, implemetned by the IDA, of working with Companies, to assist them in developing Higher Value Products and Services.

This enables those Companies to increase their strategic position within the Parent Company’s Global Operations and to improve their long-term sustainability here.

MSL’s Business Strategy is to aggressively expand its Revenue Base by positioning itself, to take advantage of the Worldwide Acceleration in Contract Manufacturing. This Company has significantly strengthened its Global presence, in recent years through the acquisition of Manufacturing Facilities, from OEM Clients.

This, combined with the strengthening of its Design and System Assembly Capabilities, will enable MSL provide Lower Cost Customised Solutions, in faster times to Market for Global Contracts.

The traditional role of a Contract Manufacturer has been to provide Manufacturing Capability only. However, Customers are now demanding an increased range of Value Added Services, including Design and Engineering capability, from their Partners. This area of the additional Business has yet, to be fully exploited and is an area which currently fits into IDA Business model of developing Higher Value Products/Services and moving Companies up the Value Chain.

The MSL Project at Galway, will involve Technical Design of new Customer Customised Products, Manufacture of these Products and the incorporation of these Products, into Electronic Sub-Assemblies which the Company, will also Manufacture. In addition, there will be a European Business Headquarters here at this Galway facility, staffed by Business Graduates, and involving functions in Treasury, Tax, Risk Management, Procurement etc.

The availability of the right Skills, a well developed Supply Base and a Business friendly environment, were all instrumental in this Company’s decision to expand MSL’s Operations, here in Ireland.

I believe that in providing the skills needed by industry, we are particularly well-served here in Galway by our educational institutions, the NUI, GMIT and the GTI

This expansion in Galway, will further strengthen the position of the Irish Operations within the overall Global Corporation.

The new operation in Galway, provides the additional capacity required by MSL, due to the growth in demand for its Services and its success, as one of the Industry Leaders in the provision of Electronic Design, Manufacturing, Systems Assembly and Logistics.

The National Development Plan has set a target of ensuring that at least 50% of all new jobs from future Greenfield projects are delivered to what have become know as "the BMWs" - that is the Boarder, Midland and Western Region. The Government is confident that the programmes being put in place to achieve the objectives of the plan will result in the fruits of our economic success being spread throughout the country.

The development of this facility is in line with the Government’s priority that the growth and prosperity which we have been enjoying nationally in recent times is experienced in all regions of the country.

The Development agencies have made a very strong push to encourage industry to locate to areas outside of the greater Dublin region, in the past few years.

This drive has yielded a considerable amount of success, and it will continue.

I would like to sincerely congratulate Mr. Kevin Melia and Mr. Tony Boyle and all of those involved in the success of this project to date and I look forward to its continued development in the future.