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Crystal Group to invest $17.5M expand Iowa manufacturing facility

HIAWATHA, IA April 21, 2017 Crystal Group Inc., a leading designer/manufacturer of rugged computer hardware announces plans for a $17.5M business expansion development in Hiawatha. The current industrial site, located at 855 Metzger Road will be completely developed for a new 111,500 square foot office and manufacturing location to expand production capacity and drive continued growth. The project will create 45 new jobs in manufacturing, engineering and sales. Crystal Group Inc. received regulatory and governmental approval and financial assistance for the project.

Crystal Group Inc. is an employee-owned small business providing server, switch, display, storage and embedded computer architectures and related integration services for mission critical installations worldwide.  The company designs, manufactures, integrates and supports rugged computer-based systems for intelligence, communications, reconnaissance, navigation, surveillance and critical control applications in government and industrial segments. The current Hiawatha location employs 165 people.

"Last year Crystal Group experienced tremendous growth in the defense and industrial markets that we serve, especially in the emerging autonomous segment. Our strategic plan calls for increasing our revenue at least double digit percentages annually," said Crystal Group President Scott Kongable. "This expansion underscores our commitment to that growth in Hiawatha with adequate space, staffing, and funding to accommodate rapid progress and an expanding customer base."

Currently, Crystal Group operates from two buildings totaling 58,000-square-feet in Hiawatha located on Kacena Road.  The new building will be situated on land that is located directly behind the current plant.

"Our production and manufacturing capabilities must evolve with our products to meet the changing needs of our defense and industrial customers," said Michael Kruger, Vice President of Manufacturing at Crystal Group. "Our investment in updated equipment, improved manufacturing processes and facilities reflects our focus on maintaining our competitiveness, as well as our commitment to the community."

The City of Hiawatha approved economic development assistance for this project at its meeting on April 19, 2017. The City also approved sponsorship of the state financial assistance application, which was approved earlier today by the Iowa Economic Development Authority Board. State financial assistance will be primarily in the form of state tax credits. The Cedar Rapids Metro Economic Alliance assisted in preparation of the state application that was sent to the Iowa Economic Development Authority earlier this month.

"Crystal Group has been an asset to our City, and this expansion shows their confidence in Hiawatha and long-term commitment to the area," said Hiawatha Mayor Bill Bennett. "It has been wonderful to see the growth of Crystal Group as leaders in their industry and a true success story."

"It is a pleasure to facilitate expansion projects for our members," said Brian Crowe, Economic Development Strategist, Economic Alliance. "We're pleased to be a small part of Crystal Group's impressive growth."

Primus Construction of Cedar Rapids, Iowa will serve as the general contractor for the project.

A groundbreaking celebration is planned for Monday, April 24 at 11:00 a.m. – Noon at 855 Metzger Drive in Hiawatha. Construction plans will begin in May 2017 with an anticipated completion date of third quarter in 2018.

About Crystal Group Inc.

Crystal Group Inc., an employee-owned small business located in Hiawatha, Iowa, USA, is a technology innovation leader specializing in both custom and COTS products for defense, government and industrial markets since 1987. Crystal Group designs and manufactures installation-ready rugged servers, displays, networking devices, embedded systems, power supplies and storage devices that fit critical applications in demanding environmental conditions.

The company is certified to quality management standards AS9100C:2009 and ISO 9001:2008.  Crystal Group products meet and exceed MIL-STDs 810, 167-1, 461, MIL-S-901, IEEE and IEC industrial standards. Additionally, the company offers integration services, configuration management, product life-cycle planning and 5+ year warranties.

 

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