Manufacturer of automotive safety products to invest more than $12 million
FRANKFORT, Ky. (Sept. 26, 2013) –Tegrant Diversified Brands Inc., which is owned by Sonoco Products Co., plans to establish a manufacturing operation in Shelbyville. The company, which is a manufacturer of foam-based and safety products for the automotive industry, will create 51 full-time jobs and invest more than $12 million.
“Our automotive industry continues to stand out as one of the best in the nation, and we owe a lot of that success to quality suppliers such as Sonoco and Tegrant,” said Gov. Steve Beshear.
With locations already in Louisville, Winchester, Morganfield and Henderson, Sonoco has more than 250 employees currently in Kentucky. Sonoco Products Co. – a global provider of consumer packaging, industrial products, protective packaging and packaging supply chain services – has annual net sales of approximately $4.5 billion and more than 19,600 employees working in 349 operations in 34 countries, serving some of the world’s best-known brands in more than 85 nations.
“We could not be happier with our experience in the Bluegrass state, and this new Shelbyville facility is proof of that,” said Carl Kraus, division vice president, manufacturing for Sonoco. “The overall business climate, the quality of the workforce and the spirit of partnership with the city and the state made this an easy decision for us.”
Kentucky’s automotive industry employs nearly 80,000 people at more than 450 motor vehicle-related facilities. As an example of the industry’s strength, Kentucky’s automotive-related exports reached nearly $4.4 billion in 2012, placing the commonwealth in the top 10 in the nation. So far in 2013, Kentucky ranks third in light vehicle production in the United States and first on a per capita basis.
“The decision to locate a manufacturing facility in Shelby County speaks volumes about the geographic location and workforce in our community,” said Shelby County Judge-Executive Rob Rothenburger.
The Kentucky Economic Development Finance Authority preliminarily approved the company for tax incentives up to $900,000 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.