FRANKFORT, Ky. (March 11, 2015) – In a reshoring of manufacturing operations from Asia, Kimball International Inc. is planning to expand its National Office Furniture facility in Ohio County, state economic development officials said today.
Kimball (NASDAQ: KBAL), a manufacturer of furniture for offices and the hospitality industry, plans to create up to 42 new jobs and invest $318,000 into the project. The company describes its products as “design driven, technology savvy, high quality furnishings,” which are sold under the brands, National Office Furniture, Kimball Office and Kimball Hospitality.
“Kimball is another example of a company that has found success in Kentucky and is growing,” Gov. Steve Beshear said. “I want to congratulate the company for reinvesting in Ohio County and adding to the economic footprint in Western Kentucky.”
The company plans to use the 195,000-s.f. facility for the production of Kimball Hospitality furniture. This move will not only add new jobs to the area, but will also bring product previously made in Asia back to the United States. Production is expected to start later this month.
“We are very excited about the expansion of our operations in our Fordsville facility,” said Kevin McCoy, president of National Office Furniture. “We feel that the most important contributor of our success is our people. Product and processes can be copied; people cannot. We believe our people in Fordsville made it possible for us to make this investment.”
Kimball opened in Fordsville in 1973. The facility, which currently employs 181 people, produces National Office Furniture for companies around the world. The Indiana-based company also has a manufacturing plant in Danville. Its Asian operations are in Dongguan, Nanjing, China, and in Ho Chi Minh City, Vietnam.
“The good news of Kimball’s expansion not only speaks to the enduring quality of its product, but also serves as a good sign for our local economy,” said state Sen. C.B. Embry, of Morgantown. “I celebrate this company’s continued success and community involvement.”
“I’m really pleased and want to applaud Kimball for making this investment and creating these additional jobs,” said state Rep. Tommy Thompson, of Philpot. “This company has been part of Ohio County’s corporate foundation for decades and is poised for greater success for decades to come. I want to commend its leaders and our state and local economic development officials for working together to help make this possible.”
“To have a manufacturing facility located in a town of 536 people, 14 miles away from the nearest federal highway, is truly a delight,” said Ohio County Judge-Executive David Johnston. “Kimball’s expansion of the Fordsville facility is a testament to the work ethic and productivity of our citizens here in Ohio County.”
To encourage the investment and job growth in Fordsville, the Kentucky Economic Development Finance Authority preliminarily approved the company for tax incentives up to $300,000 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.
Kimball’s stock at midday today was trading at $9.69,up 19 cents or 2 percent.