ST. JOHNSVILLE - The Montgomery County Industrial Development Agency approved a $400,000 loan Thursday for a Rhode Island company that plans to bring 50 manufacturing jobs to the village.

The loan to M.H. Stallman, a foam fabrication and distribution company, carries a 2 percent interest rate over seven years and requires the company to provide at least 50 new jobs in the area over the next three years.

The loan, part of M.H. Stallman's $6 million expansion project, is designated for machinery that will equip 35,000 square feet of factory space in the Cellect LLC factory building on New Street.

Cellect LLC develops and manufactures foam while M.H. Stallman manufactures that foam into a variety of end products ranging from cervical collars to personal flotation devices.

The Montgomery County Board of Supervisors must approve the loan before it's finalized.