Tecumseh Products Co. is planning to expand operations at its facility in Verona, Miss., in order to meet increased product demand. The expansion is a multi-million dollar investment for Tecumseh, retaining 350 jobs at the facility and creating up to 150 new jobs over the next five years.

Tecumseh manufactures refrigeration and air-conditioning products, and is expanding production of the energy efficient AE2 commercial refrigeration compressor. The AE2 line is expected to be operational by October 2013. Currently, the AE2 compressor is manufactured in Brazil and France. The company also has plans to expand its condensing unit production at the Verona facility.

Since its launch in January 2011, Tecumseh officials said the AE2 has seen rapid adoption in beverage coolers, commercial refrigerators and freezers, and similar applications worldwide, as commercial refrigeration equipment manufacturers search for higher efficiency and more cost-effective compressor solutions.

“We are extremely pleased with the support that we’ve received,” said Jim Connor, president and CEO of Tecumseh Products Co. “Expansion of our Verona manufacturing production wouldn’t be possible without the strong financial assistance from the state of Mississippi. The opportunity is timely as the global economy continues to improve along with the demand for our products.”