American Fiber to Provide $2.5 Million Investment, 300 New Jobs

Richmond - Governor George Allen today announced that American Fiber Industries, Inc., a manufacturer of bed pillows and mattress pads, will invest $2.5 million to expand its Virginia operations in Henry County's Frith Industrial Park, creating approximately 300 new jobs by late 1998.

"I am pleased that American Fiber has decided to expand in Henry County, strengthening our economic foundation in Southwest Virginia," said Governor Allen. "In our Administration, we have worked hard to create the best competitive environment for expansion and recruitment of new investments and jobs. One key improvement was the doubling of Enterprise Zones, from 25 to 50. I'm especially happy to see this great investment in an Enterprise Zone we approved in 1995. It is already paying dividends."

American Fiber Industries, which is headquartered in Commerce, California, will expand the company's existing bed pillow product line while introducing the production of mattress pads. American Fiber officials anticipate future expansion in Virginia if mattress pad production remains a strong market need.

"Virginia was the ideal business location for this expansion," said Jack Foley, president of American Fiber Industries. "The Enterprise Zone designation and low utilities costs confirmed our decision to expand in Henry County."

Virginia successfully competed with South Carolina for the investment. The Virginia Economic Development Partnership, the Patrick Henry Economic Development Council and Henry County assisted the company with its decision. The Virginia Department of Business Assistance will provide workforce training services.

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