TORONTO — Royal Group Technologies Ltd. received another order for modular housing in an area hit by a natural disaster.
The Toronto firm said it will supply about 800 Royal Building System housing kits to Sakhalin Island, Russia, for victims of a recent earthquake. The contract is worth about C$22 million (US$16 million). Royal will make the kits at its recently opened housing-kit plant in Toronto.
Royal said last month it will supply C$2.5 million (US$1.8 million) worth of building kits to Poland, parts of which were ravaged by floods in the summer. Royal also is setting up a vinyl extrusion plant in that country but will make the 86 housing kits in Toronto. Its housing system is based on extruded, hollow, vinyl composite panels and posts that can be filled with concrete, insulation or other materials after workers lock them together.
The extrusion giant said its backlog for housing kits now exceeds C$70 million (US$50.9 million). Other orders include a 2,160-home project in the Philippines, a 400-home deal in Argentina and a resort complex on the island of St. Kitts. Delivery dates for the orders range from this year to fall 1999. Vic De Zen, the firm's chairman, president and chief executive officer, said in a news release that other large residential, commercial and institutional projects ``are on the drawing boards.''
Economic Development Corp., a Canadian government corporation, will assist in financing the Russian housing deal. Jim McIntyre, a financial services manager for the Ottawa, Ontario-based EDC, said he could not disclose terms of the Royal deal but he noted it is part of a C$45 million (US$32.7 million) financing arrangement involving numerous firms and Russian customers.