Waterford is in the running for a major expansion by the contact lens manufacturer, Bausch & Lomb, which could create at least 500 new jobs if the project is approved by the American company's head office.
Confirmation of a possible doubling in size of the Bausch & Lomb factory in Waterford came as United Airlines, the world's largest carrier, announced that it is to centralise its European reservations system in Dublin, creating 200 new jobs by the end of the decade. In addition, the Cork supermarket chain, Musgrave, has announced that it is to recruit 200 people for a £20 million expansion of its frozen food distribution operations in Dublin and Cork.
Bausch & Lomb is one of the biggest employers in the Waterford area, with a workforce of 1,100. It set up in Waterford in 1980 to make contact lenses and three years later began manufacturing its Ray-Ban sunglasses there.
The company also has a subsidiary in Scotland, but it is thought that the main competition for the expansion will come from lower-cost locations in the Far East.
A spokesman for IDA Ireland pointed out that the Bausch & Lomb project was only at the bidding stage. He said it was likely that the Minister for Enterprise and Employment, Ms Harney, would be participating in the negotiations for what is considered a priority project.
Ms Barbara Kelley, vice-president of public affairs at Bausch & Lomb's headquarters in Rochester, New York, said that the Waterford management had reason for optimism that the planned expansion would go ahead there. "We certainly have been very happy with our experience in Ireland. Ms Kelley's comments were echoed by sources at the plant in Waterford. One source told The Irish Times that the local management was confident of securing the expansion, which would involve a capital investment of tens of millions of pounds. "We feel confident that it will go through," the source said.
Mr James Kennedy, Bausch & Lomb's vice-president for European operations, said that a lot of work remained to be done before any decision was made on the location of the new contact lens plant.