Ex-Defense Contractor Gets Transition Loan
A Downey firm devastated by the Pentagon’s downsizing has won a $1.2-million federal loan to help ease the transition from military to civilian work.
The loan to United California Corp. is the largest issued under the U.S. Small Business Administration’s Delta program, developed for contractors having difficulties reinventing themselves for the private sector.
United is a drill tool company that once thrived on military aircraft modifications and other defense industry work.
It survived on loans from local banks but came close to folding when a larger bank absorbed the debts and increased the interest rate. The firm will add 100 employees in the next three years.
