The oldest business in Genesee County was set to shut down on July 31, 2014, nearly done in by lackluster sales and a frumpish product line, despite having outsourced 100 jobs to China in an effort to keep costs down and stay afloat.
But thanks to two local guys who stepped up and came to its rescue, creating the New p.w. minor company, the 150-year-old shoemaker and orthodics producer is still standing, striving to thrive.
Fifty jobs were retained by keeping the business, located at 3 Treadeasy Ave. in the City, in operation. Then the hard part of rebuilding began.
Peter Zeliff and Andrew Young, although the latter is no longer with the firm, invested in the business, worked with local and state officials to work on bringing back those jobs from China, hired new designers and are revamping the product line. Things are turning around. This is why the New p.w. minor was named the Genesee County Chamber of Commerce's 2015 Business of the Year.
"I honored to be named Business of the Year," Zeliff said. "I don't know that we deserve it yet. But we're moving in the right direction. It's taking longer that I had planned on, but we're going to get there."
Zeliff and Young didn't need to take the risk, but they valued a mainstay business of the local economy and did not want to see it close. Zeliff is now CEO of p.w. minor and sits on the board of Oakfield-based EIF Renewable Energy Holdings, LLC, where he once was an executive. Young is a real estate broker and investor.
"Our goal is to bring manufacturing back to Batavia and expand it," Zeliff said in August of 2014. "We are excited to be a part of the resurrection of this American icon."
The company was founded in 1867 by two brothers shortly after they returned from fighting in the Civil War. But despite its historic roots and rich tradition of making high-quality leather footwear, like many small and mid-size businesses, worldwide economic trends and the withering of manufacturing in the Northeast took its toll.
Reversing the gloomy course of p.w. minor took money, business acumen, vision and commitment, according to the leaders who embraced Zeliff and Young's plans, including Gov. Cuomo, Sen. Michael Ranzenhofer, Steve Hyde, president and CEO of Genesee County Economic Development Center, Assemblyman Steve Hawley, Howard Zemsky, president and CEO of Empire State Development, County Legislature Chairman Ray Cianfrini, et al.
Last year, p.w. minor outlined long-term plans to upgrade and automate its production facilities, putting the total price tag at $7.5 million. Empire State Development pledged to provide up to $1.75 million in performance-based tax credits, including a $900,000 state-backed aid package to re-shore the China jobs and add jobs.
Since the acquisition in 2014, Zeliff said 30 jobs have been added, but five of those were temporarily cut today (not the 10 as rumored).
"We expect to bring those jobs back in four to 12 weeks," Zeliff said this afternoon.
He explained that later this year -- late summer, early fall -- newly purchased production equipment should be in place in Batavia-- to help do the jobs that were being done in China. So far, Zeliff said $1.3 million has been invested in new equipment to upgrade and automate facilities here; and another $500,000 will be spent this year on shoemaking equipment, including molds, from Italy, known worldwide for shoes and leather goods.
New shoe designs were rolled out, or are being developed, that offer not just the fit and comfort p.w. is renowned for, but style, too.
There's been a big learning curve, and sometimes it's been frustrating. Zeliff said it's sometimes s-l-o-w going when it comes to dealing with state bureacracy. And developing new molds and products, likewise, has taken more time to achieve than he initially anticipated.
"I was a landfill gas-to-energy person," Zeliff said. "I may have underestimated what it takes to do this, but we'll get there."