Exhibit “A-1”



Replacement Power


Company:                                  Surmet Ceramics Corporation


Location:                                   Buffalo


County:                                     Erie


IOU:                                          Niagara Mohawk


Business Activity:                    Manufacturer of advanced materials and coatings


Project Description:                  The project includes purchasing and refurbishing equipment to increase the company’s manufacturing capabilities. The company also plans to install a high-temperature heat-treatment furnace. In addition, it will be refurbishing manufacturing space throughout the plant. 


Prior Application:                     No


Existing Allocations:                None


Power Request:                        900 kW


Power Recommended:             900 kW


Job Commitment:     

               Existing                           14 jobs

               New                                  9 jobs


New Jobs/Power Ratio:            10 jobs/MW

New Jobs -

Avg. Wage and Benefits          $45,000


Capital Investment:                  $377,000


Capital Investment/MW          $ 418,889/MW


Summary:                                  Surmet has been manufacturing advanced material and coating for Fortune 500 firms, technology-based enterprises and U.S. government agencies. The company’s products are used by the semiconductor equipment, biomedical, aerospace and defense industries. Electricity makes up 15% of Surmet’s total facility operating budget. A low-cost hydro power allocation will help the company remain competitive.