3-D glasses to be made in Shamokin Global demand will produce 100 jobs here

SHAMOKIN - A city firm will begin making 3-D glasses next week in a project that links the region with a burgeoning global demand for the latest movie and TV viewing technology.

D/E Associates Inc. expects to employ 50 people within weeks and as many as 100 people on two shifts by year's end as production ramps up toward a goal of at least 1.5 million glasses per month.

The good economic news for a city that two years ago sought help from the state to reverse its growing debt comes through D/E's partnership with 3D Global Glasses LLC, a New Jersey-based company that next week will promote its new, 100-percent recyclable plastic glasses at the ShoWest trade show in Las Vegas.

"In the next six months, we should be very close to that 100 (employees) number," said George DeLellis, project manager and secretary-treasurer for D/E. "We have to capture the market and ride the wave as it's forming."

DeLellis couldn't say for certain what wages D/E would pay, but predicted the assembly work would be "under $10" per hour. He and Dave Witt, a co-owner of D/E with Ed Linkus, said they also weren't sure about benefits until details about potential state funding assistance for equipment and job-training and other specific costs associated with production are finalized.

D/E officials and Kirk Lysek, who is partners in 3D Global Glasses with Mark Smith, expressed optimism that wages will increase in time, particularly as some more advanced projects they're planning for D/E come online.

Lysek estimated the value of the project at start-up as $1 million.

KETEC connection

D/E and 3D Global were brought together through the efforts of Steve Bartos and the Mount Carmel-based nonprofit group, KETEC (Keystone Energy Technology Enterprise Center), for which he serves as director. KETEC, a unique compilation of experts, has been working since late 2008 to attract alternative-energy firms and other businesses to the lower anthracite region.

At the D/E building, on Fifth Street just two blocks off Market (Route 125), officials gathered for a press briefing and tour Thursday morning to explain the project.

Bartos, who was repeatedly praised by D/E and 3D Global officials for his efforts in not giving up through two years of struggle to make the project happen, said it's important to note that people will once again be able to walk to work in Shamokin, a bonus in terms of a worker's expenses, and another "green" element of the project.

"It's amazing - 3D technology here in the city," he said.

Growing demand

With the recent trend of 3-D movies with the blockbuster "Avatar," as well as "Alice in Wonderland" and the upcoming "Clash of the Titans" and "Shrek Forever After," there is a growing demand for 3-D glasses and products.

According to Lysek, movie-goers have used 50 million glasses and counting for "Avatar" alone.

The goal for D/E is to start production on its 3-D Global contract by next week and be able to produce 500,000 glasses a month by late April, and perhaps as many as 1.5 million a month before the end of the year.

With only 12 active employees, D/E, which has had as many as 60 workers in the past, will start by calling back workers who were recently laid off, then begin hiring new employees.

Lysek noted that he and Smith, who have some local real estate investments, were convinced to come to the Shamokin area with the project in part because of the reputation for a solid work ethic, and also knowing that entrepreneur Dr. Richard Caruso of Villanova - among the founders of the Coal Township-SEEDCO Industrial Park who helped get Reinhart as the anchor tenant - had committed to the region and is working toward a possible joint project with D/E.

100% recyclable

The glasses, sold to industry buyers at costs ranging from 50 cents to $1, and the bags they come in are 100 percent recyclable and made from completely recyclable and biodegradable materials.

Lysek noted how Europe's strict regulations regarding recycling bode well for 3D Global's product.

3-D glasses usually get washed or recycled after use.

The glasses D/E will produce are to fill international orders, but the local firm and 3D Global plan to enter the North American market in the coming months, Lysek said.

The companies hope to ship 1,000 sample glasses to ShoWest for early next week, 3,000 to Mexico by later next week and - as soon as possible - 100,000 to Italy. There are also orders from Germany, Russia, Japan and India, Lysek said, combining to produce a 5 million piece purchase order for D/E.

One eight-station assembly line is installed and ready in the building now, but at least two more lines and possibly three will be installed, officials said.

Local support

Boyer Machines, of Northumberland, manufactured the injection molds that will shape the plastic into the glasses, and was able to bring back several employees because of the contract, Bartos said. Also, Latovich Machine Shop, of Mount Carmel, is manufacturing the small presses and other assembly station equipment.

The film for the lens is made by US Polarizer, Marlborough, Mass., a company recently purchased by Lysek and Smith. Film Journal International reports at its Web site that "industry veteran" Paul Caramagna, who has more than 40 years of experience in the motion picture equipment industry, is general manager for the new project.

For now, the film - described by Lysek as "circular polarized" technology - is being cut into lenses at 3-D Global in New Jersey until D/E can get set up to do the work, which is expected soon. That will bring everything in-house at D/E except production of the film itself, which will remain with US Polarizer.

Furthermore, D/E, which will manufacture under the new name Greener Planet, and 3D Global plan to tap into the 3-D home theatre market and produce a type of glasses with "anaglyph" technology, designed for televisions.

Beyond that on 3D Global and D/E's production list is creation of a high-end frame that can be used as part of traditional sunglasses but also for watching 3-D HD TV.

Lysek said he wants 3D Global and companies affiliated with it to obtain "Green Business League" certification, which he said ensures "substainability and green practices" are being used.

Company saved

D/E has been in continuous operation in the area for more than 40 years, and not long ago was the largest manufacturer of international voltage converters and adaptor plugs for overseas travel, selling to Wal-Mart and other retailers. Competition from China chipped away at its business and, in combination with the recession, the company was suffering its worst sales slump ever, DeLellis said.

In 2008, D/E approached local politicians, first getting assistance from Northumberland County Commissioner Chairman Frank Sawicki, who put them in touch with Bartos, who at the time was the county planning director. Bartos, who, in addition to his KETEC role is renewable/alternative energy coordinator for the office of state Rep. Robert E. Belfanti Jr., D-107 (a job for which he is on a leave of absence due to running for the retiring Belfanti's legislative seat) continued to work with D/E and others.

Much praise was given to Bartos by D/E, Global 3-D and Caruso for bringing the partnership to fruition.

"I personally thank Steve," said Witt. "Never for one second did he give up on us."

Glasses 'our future'

Shamokin Mayor George Rozinskie and Sawicki were among about a dozen people at Thursday's briefing at D/E.

"You have the complete support of myself and city council to ensure the success of this project," Rozinskie said.

"We're pro-business" in Northumberland County, added Sawicki. "We want you here and we want you to make a profit."

Lysek described the start-up at D/E as "the tip of the iceberg," and said the 100 jobs "will happen."

"This is the beginning of an enormous opportunity," he said.

DeLellis and others made it clear the deal has saved the local company.

"Glasses are our future," he said.