SHENANDOAH, Iowa — The Pella Windows & Doors company plans to shift more window production to its southwest Iowa factory and hire 120 additional workers in Shenandoah.

Company officials said they plan to move production of its wooden double-hung windows to Shenandoah from its factory in Macomb, Ill.

The Iowa Economic Development Authority agreed to give the company a forgivable $200,000 loan to help pay for the move. In return, the company said it plans to spend $5.6 million on equipment for the new lines, and the new jobs will pay at least $20.58 an hour, state officials said.

The city of Shenandoah is also providing a $40,000 forgivable loan.

Pella already employs about 300 people at the plant in Shenandoah. That will grow to over 400 once the change is made.