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NEWBURGH - U.S. Representative Maurice Hinchey (NY-22) today participated in a ribbon-cutting ceremony at a new manufacturing facility in Newburgh. Cobra Systems, Inc. will produce concertina security wire at the new facility on Dickson Street. Hinchey was instrumental in helping Cobra secure a major Defense Department contract that necessitated this expansion.
"Cobra Systems is a great company that makes a high-quality product," said Hinchey.  "That certainly made my job of convincing the Defense Department to buy from them much easier. I'm glad to see that production will soon be underway here in Newburgh."
Cobra Systems Inc. is the oldest producer of barbed tape in the United States and the largest manufacturer, supplier and installer of barbed tape products in the Northeast. Founded by Michael V. Pavlov, its president and CEO, Cobra is a private corporation that manufactures and installs security products with emphasis on the governmental, institutional and industrial markets. Its headquarters is located in Bloomington and it has another manufacturing plant in Lake Katrine.
Prior to the contract Hinchey announced in December, the Defense Department purchased most of its security wire from one company. Through a series of letters and personal phone calls, Hinchey convinced the Defense procurement office that Cobra should be contracted to produce a large portion of the needed product. The new contract is worth at least $5 million in the first year. It has four available option years and could be worth as much as $50 million over the full term.
To meet the demands of the contract, Cobra began to implement its plan for expansion, which culminated in its recent acquisition of the former newspaper building located at 85 Dickson Street. The company will be making renovations to the 27,400-square-foot building and hiring up to 18 new employees in the coming months, in addition to other subcontractors and consultants who will be involved in improvements to the facility. Cobra will be investing approximately $1.7 million dollars in the facility and machinery. Production at this site should begin in the next few weeks. Cobra will continue to lease space to other companies located in this building. |