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Sabert Corp. manufactures plastic containers for the food industry.

A New Jersey-based company that specializes in plastic food packaging has opened a new manufacturing and distribution facility in Bullitt County that is expected to eventually bring hundreds of new jobs to the area.

Sabert Corp., which manufactures disposable plastic food containers, has invested approximately $35 million to build the 250,000-s.f. plant in Shepherdsville.
Operations are slated to begin this month with about 70 employees and the company plans to grow that number to 100 within the first couple of years.
According to a statement issued by the state, Sabert officials expect the Kentucky facility to eventually employ several hundred people.

Sabert President Albert Salama said the Kentucky’s central location will enable the company to better serve its customers. “By being closer geographically, we will be providing faster more efficient service, decreasing our travel distances and consequently reducing our own carbon footprint,” Salama said.

In addition to its New Jersey headquarters, Sabert has offices in California and manufacturing and distribution centers in Belgium and China.

The Kentucky Economic Development Finance Authority has approved Sabert for tax benefits up to $2 million.

Pomeroy IT Solutions Inc. is being acquired by Hebron LLC, a holding company owned by Pomeroy founder and director David B. Pomeroy II.

David Pomeroy owns 20 percent of Pomeroy IT stock. Under the terms of the agreement, Hebron LLC will acquire all Pomeroy outstanding common stock not owned by David Pomeroy and his wife for $5.02 per share. The offer, which was announced May 20, represents a 30 percent premium over the May 19 closing price of $3.86, and a 41 percent premium over the last month average closing price of $3.55.

“We believe this transaction provides the greatest likelihood for achieving the highest value for the company’s stockholders, and that this is also in the best interests of our customers, partners and employees,” said Pomeroy President and CEO Christopher C. Froman. “The added flexibility of being a private company will help us to focus on supporting our customers with the highest levels of service that they have come to expect.”

The transaction is expected to close in the third quarter of 2009.

General Cable Corp. has joined the ranks of the Fortune 500 for the first time in the history of the company. The company, which is a global leader in copper, aluminum and fiber optic wire and cable products for the energy, industrial, and communications markets, came in to the Fortune 500 with a ranking of 396, based on revenues of $6.2 billion.

Four other Kentucky companies – Humana, Yum Brands, Ashland and Omnicare – were also included in the 2009 listing.

Louisville-based Humana moved up to No. 85 (from No. 98 in 2008), with revenues of $28.9 billion. Yum Brands, the Louisville-based parent company of KFC, Pizza Hut, Long John Silver’s, Taco Bell and A&W, moved to No. 239 (up from No. 253 in 2008) based on revenues of $11.3 billions. Chemicals company Ashland, headquartered in Covington, earned a rank of 310 (up from 322 in 2008) with revenues of $8.3 billion. Omnicare, also based in Covington, came in at No. 392 with revenues of $6.3 billion, down slightly from its 2008 ranking of 286.

Locair operates a Fairchild Metroliner that has a 19-seat capacity but is configured with nine seats, which provides 17 feet of cargo space and allows each passenger 70 pounds of luggage.

Locair has expanded its flight service out of Lake Cumberland Regional Airport in Somerset with new flights to Cincinnati and Washington, D.C.

The flights will operate in coordination with Locair’s current service to Nashville, which began last year.

Flights to and from Cincinnati operate on Monday, Thursday, Friday and Saturday, while service to and from Washington’s Dulles International Airport operate on Monday and Friday.

The airline’s Nashville service operates on Monday, Thursday, Friday and Sunday.
“These new services pave the way for new economic development, more jobs and greater tourism in the Lake Cumberland region,” said U.S. Congressman Hal Rogers.

Through a combination of architectural changes and systems engineering enhancements, fuel efficiency for the Ford Expedition and Lincoln Navigator has been increased this year to an EPA-estimated 14 mpg city and 20 mpg highway on 4x2 models.

Ford Motor Company has completed a $200 million investment in the retooling of its Kentucky Truck Plant in Louisville. The retooling includes a flexible body shop that allows the plant to produce more fuel-efficient Ford Expedition and Lincoln Navigator SUVs alongside Ford F-Series Super Duty pickups. The makeover is part of a move by Ford toward leaner and more flexible manufacturing.

An incentives package passed by the Kentucky Economic Development Finance Authority helped Ford make the $200 million investment needed to retool Kentucky Truck.

“Working together with our government partners was a key enabler in allowing us to quickly and efficiently move the new production to Kentucky,” said Jim Tetreault, Ford vice president, North America Manufacturing.

Approximately 450 Ford employees recently transferred to Kentucky Truck, bringing the number of total employees to roughly 4,000.

Churchill Downs officials say competition from tracks that offer other gaming options is hurting Kentucky's racing industry.

Citing a reduced number of entries and a decline in purse money earned so far during its 2009 Spring Meet, Churchill Downs has eliminated seven race days from the remaining spring schedule. 

Churchill Downs’ mid-May decision to alter the Spring Meet schedule came on the heels of four consecutive race days in which at least one race was cancelled due to small field sizes. Turfway Park in Florence and Ellis Park in Henderson have also had to cut race days due to a decline in entries.

“We are now clearly seeing the impact of competing with Thoroughbred racetracks that supplement their purses with revenue from additional gaming options, such as slots and video lottery terminals,” said Bill Carstanjen, chief operating officer of Churchill Downs Inc. “Our analysis shows that tracks with these enhanced purses are attracting more horses to their races.”

Sazerac plans to add new machinery and equipment at their Buffalo Trace distillery in Frankfort.

Sazerac North America has announced plans to expand two of its Kentucky distilling operations, creating some 89 new full-time jobs.

Sazerac is investing some $9 million in additional machinery and equipment at its Buffalo Trace Distillery in Frankfort and will add 39 new jobs to the current workforce of 270. The company is also expanding its operations in Owensboro, adding 300,000 s.f. at an estimated cost of $10.5 million. The Owensboro expansion will require the purchase of $8.25 million in new machinery and equipment and will result in the addition of 50 new jobs at the distillery, which currently employs 188.

The two distilleries have been approved for tax benefits under the Kentucky Industrial Development Act for up to $3.28 million by the Kentucky Economic Development Finance Authority (KEDFA). KEDFA has also granted preliminary approval to Sazerac for up to $1.41 million in tax incentives under the Kentucky Jobs Development Act for the possible location of certain administrative offices in Louisville. If successful in bringing the new location to Kentucky, the project would consist of a 10,000-s.f. facility and could create 51 full-time employment opportunities.

Sazerac is one of the top 10 producers and marketers of spirits and wines in the United States. The company’s primary distilling, bottling and distribution facilities are located at the Buffalo Trace Distillery in Frankfort with facilities in Owensboro and Bardstown.

Appalachian Regional Healthcare's renovation of a former Wal-Mart store, which sat vacant for two years, has attracted statewide attention and was recently chosen for an Associated Builders and Contractors Award of Excellence.

Appalachian Regional Healthcare (ARH) has put a new spin on one-stop shopping with the opening of a medical mall that provides a variety of health care services in a building that once housed the Hazard Wal-Mart.

Hazard ARH Senior Community CEO Donnie Fields said the new ARH Medical Mall offers residents in Perry and surrounding counties a convenient answer to outpatient health care services and will address the future health care needs of the community while also making good use of existing business space in Hazard.

Services available at the new facility include a bariatric center, a cardiac rehabilitation program, physical and occupational therapy, a veteran’s administration clinic, a private family practice clinic, and the ARH HomeCare Store, which carries medical supplies and provides 24-hour support to home respiratory and medical equipment patients.

Additional services are planned, including a pharmacy and a state-of-the-art imaging center that will offer X-ray, MRI, ultrasound and CT services.

As auto manufacturers have scaled back their production due to a significant decline in demand, companies like AK Steel that provide materials for the industry are having to adjust their production as well.

AK Steel has announced that it will likely idle most of its Ashland Works facility beginning late in July or early August. The idling will affect about 750 hourly and salaried employees, and is the result of recent production curtailments at GM and Chrysler.

AK Steel produces flat-rolled carbon, stainless and electrical steels, primarily for automotive, appliance, construction and electrical power generation and distribution markets.

The company said the Ashland plant is likely to remain idled through the balance of 2009.

“Unfortunately, at these very depressed business levels, we do not have sufficient carbon steel orders to operate both of our blast furnace plants,” said James L. Wainscott, chairman, president and CEO of AK Steel. “The Ashland Works is not capable of producing the full range of slab widths required by our customers and lacks any rolling facilities. Thus, the Middletown (Ohio) Works is the only efficient choice for this very low level of orders.”

All steel slabs produced at the Ashland Works must be transported approximately 150 miles to the company’s Middletown Works for conversion to hot-rolled coils.
The Ashland Works also employs about 290 people at a coke plant that is currently scheduled to continue operating at a reduced level.

The University of Kentucky Gatton College of Business and Economics has announced its newest inductees to the Alumni Hall of Fame.

“Induction into the Gatton Hall of Fame has become a prestigious honor for our business school alumni,” said D. Sudharshan, dean of the Gatton College. “These five outstanding graduates ... represent integrity and hard work in the business world and in the greater community in which they live. The University of Kentucky is privileged to count these individuals among its alumni.”
The 2009 recipients are:

James E. Geisler, vice president for corporate strategy and planning, United Technologies Corporation (UTC). Geisler has remained an active part of Gatton, helping to develop the college’s one-year, immersive MBA program, in addition to serving as an instructor for both that program and the Master of Science of Accounting program.

Elizabeth Griffin McCoy, president and CEO of Planters Bank Inc. in Hopkinsville. McCoy is a member of several community boards in hopkinsville and is a member of the board of the Gatton College Business Partnership Foundation.
 

Paul Rooke, executive vice president of Lexmark International Inc., and president of the Imaging Solutions Division. Rooke is a member of the board of the Gatton College Business Partnership Foundation, serves as committee chair for Young Life Lexington and is an elder at St. John‘s Lutheran Church in Lexington.
 

Paul Varga, president, CEO, and chairman of Brown-Forman Corp. Varga is a member of the executive committee of Greater Louisville Inc. and serves on the board of directors for the Kentucky Chamber of Commerce, the YMCA of Louisville and Three Chimneys Farm.
 

John A. Williams, founder and chairman of Computer Services Inc. (CSI), the fourth-largest bank data processing company in the nation. Williams is a past president of the Paducah Area Chamber of Commerce, served a three-year term as vice president of the Kentucky Chamber of Commerce and has spearheaded fund raising and construction of the Luther F. Carson Four Rivers Center for the Performing Arts, of which he currently is chairman.

EQT Corp. has opened a new natural gas pipeline that enables gas to be transported from the company’s state-of-the-art Langley processing plant in Floyd County to numerous markets in the northeastern United States.

EQT’S Big Sandy line, which represents a $150 million investment, makes an additional 130,000 Dekatherms per day of natural gas available for transport from eastern Kentucky to the Northeast.

“Big Sandy was a huge undertaking for EQT, but the truth is, we’ve been committed to success in Kentucky for many, many years,” said Murry Gerber, EQT’s chairman and CEO.  “Natural gas reserves are the lifeblood of our company’s future, and almost half of our reserves are located in Kentucky.”

EQT took on the ambitious 17-month pipeline project in November 2007 when it became clear that the gas from its expanding system of wells – as well as gas from other smaller producers in eastern Kentucky – could otherwise be “shut in” because of lack of pipeline capacity to carry the gas to market. A well is “shut in” when available gas that could be produced cannot be transported to a sales point because of lack of pipeline capacity – and therefore is not drilled or sold.

EQT is the largest producer of natural gas in Kentucky and the Appalachian Basin, with more than 5,000 gas wells currently producing natural gas in Kentucky.  In 2008, the company invested more than $762 million in natural gas production and transportation in the state.
 

Kentucky is receiving $18 million in stimulus funds through the American Recovery and Reinvestment Act that will be distributed to the commonwealth’s 10 local workforce investment boards.

Of the $18 million, $11.2 million is being appropriated for dislocated workers, with the remaining $6.9 million being used to provide training opportunities and employment services to low-income adults.

“Kentucky must be prepared to provide new and emerging companies and industries with the most skilled and educated workers,” said Gov. Steve Beshear. “These funds will support those facing extraordinary challenges by assisting them in upgrading or retooling their skills to enable them to return to the workforce.”

Job training and employment services are being made available through Kentucky’s One-Stop Career Centers, which target services to meet the changing needs of workers and employers. Employment services will include career and skills assessments, resume writing and interview preparation workshops, adult education, job training, postsecondary education scholarships, academic certifications and licenses, registered apprenticeships, and career advancement and supportive services activities. Priority will be given to recipients of public assistance and other low-income individuals. Strategies have been developed to assist adults in adapting skills and career goals to the changing economy and employment options.

Trained staff at the career centers will be available to assist Kentucky employers with locating qualified job applicants, screen and test job seekers to match the employers’ needs, provide funding for eligible on-the-job training and customized training needs.

Services are also available to employers anticipating layoffs or closure.
To locate a career center, visit oet.ky.gov/des/wis/ wfservices.htm. For general information, call (502) 564-7456.

Site Selection magazine, a leading international economic development publication, has ranked Kentucky’s economic development agency fifth in its 2008 Annual Competitiveness Award. The annual listing is a benchmark that measures state economic development agencies’ competitiveness.

Categories used to calculate the ranking include per capita jobs and investment numbers for 2008, the number of top metros and micropolitans in Site Selection’s 2008 rankings, rates of growth in new and expanded facilities, and ranking in the annual business climate survey.

Open only to state-level economic development agencies, the states were ranked according to an indexing system based on 10 criteria for measuring business-expansion activity that took place in the previous calendar year. The 2008 ranking represents the seventh consecutive year in which Kentucky has been named among the listing’s top 10.

“Businesses in most industries are scaling back expansion plans, so state economic developers must double their efforts to attract capital investment,” said Mark Arend, editor-in-chief of Site Selection. “Kentucky’s fifth-place finish should indicate clearly to corporate location decision makers that its economic development strategy is delivering results, even in a challenging economic climate.”

The economic competitiveness rankings were published in Site Selection’s May 2009 issue and on its Web site, siteselection.com.

SITE SELECTION’S TOP 10 COMPETITIVE economic development agencies

    1.    Ohio
    2.    North Carolina
    3.    Michigan
    4.    Pennsylvania
    5.    Kentucky
    6.    Texas
    7.    Tennessee
    8.    Alabama
    9.    Indiana
    10.    South Carolina

The U.S. Small Business Administration (SBA) has temporarily expanded its 7(a) loan program, giving great access to much-needed capital for small businesses across the country.

“We have seen signs that small businesses that are just outside the traditional 7(a) size standard are being shut out of the conventional lending market,” SBA Administrator Karen Mills said. “This temporary change will help those businesses weather these tough times and help move our nation closer to economic recovery.”

SBA’s alternate size standard for its 7(a) loan program will be in effect through Sept. 30, 2010. As a result of the temporary change, more than 70,000 additional small businesses – including auto and RV dealerships, auto industry suppliers and others – could be eligible to apply for SBA 7(a) loans.

The temporary 7(a) loan size standard will parallel the standard for the agency’s 504 Certified Development Company loan, and will allow businesses to qualify based on net worth and average income. The net worth for the company and its affiliates can’t be in excess of $8.5 million and average net income after federal income taxes (excluding any carry-over losses) for the preceding two completed fiscal years can’t be more than $3 million.

For more information about SBA’s revisions to its small business size standards, visit sba.gov/size/indexwhatsnew.html and click on “What’s New about Small Business Size Standards.”