Food product provider to invest more than $44 million
OWINGSVILLE, Ky. (Sept. 11, 2013) – Custom Food Products LLC, a wholly owned subsidiary of CTI Foods, is expanding operations in Owingsville. The company plans to create up to 200 new, full-time jobs and invest more than $44 million in the project.
“Custom Foods has been a valuable member of the Bath County community since 1994, and we’re excited to see the company grow and succeed in the commonwealth,” said Gov. Steve Beshear. “This is a major victory for everyone involved, especially when you consider there are 200 new jobs and a $44 million investment on the way as a result of this expansion.”
Custom Foods/CTI manufactures processed beef, pork, chicken, turkey, soups, sauces and tacos for packaged food manufacturers and foodservice chains in North and Central America. The expansion will bring the total number of employees at the Owingsville facility up to nearly 350, and will allow the company to expand its services to the East Coast market.
“CTI has been seeking to expand its Central and East Coast manufacturing presence for several years. With the acquisition of Custom Food Products last year, our way to the future became clear,” said Bobby Horowitz, president and CEO of CTI Foods. “As part of our investigation prior to purchasing Custom Food Products, we spent significant time in Owingsville and were very impressed with the attitude, skills and desire of current associates to make the business successful. After investigating several other options on the East Coast, it became clear to our management team that we wanted to significantly expand our operation in eastern Kentucky. We want to especially thank all of the local and state authorities who have been so helpful to us in this selection process. And we look forward to working with them in the future.”
CTI Foods also operates food manufacturing facilities in Pennsylvania, Texas, Idaho and California and employs approximately 2,000 people nationally.
The Kentucky Economic Development Finance Authority (KEDFA) preliminarily approved the company for tax incentives up to $3 million through the Kentucky Business Investment program. The performance-based incentive allows a company to keep a portion of its investment over the term of the agreement through corporate income tax credits and wage assessments by meeting job and investment targets.
KEDFA also approved Custom Foods for tax benefits up to $100,000 through the Kentucky Enterprise Initiative Act, which allows approved companies to recoup Kentucky sales and use tax on construction costs, building fixtures, equipment used in research and development and electronic processing equipment.
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