Governor McDonnell Announces Third Arkay Packaging Expansion in Botetourt County

RICHMOND - Governor Bob McDonnell today announced that Arkay Packaging Corporation, one of the world’s premiere folding carton manufacturing companies, will invest $7.5 million to expand its operation in Botetourt County. The project will create 25 new jobs in press operations, quality control, finishing, and gluing. The investment includes a state-of-the-art Heidelberg XL105 printing press, as well as a new Bobst die-cutting press.

Speaking about today’s announcement, Governor McDonnell said, “This project marks Arkay Packaging’s third expansion since it began operations in Botetourt County in 1996. Arkay is clearly a leader in packaging solutions, and its rapid growth is testament to this success. For the past 15 years Botetourt County has offered the company the right location with the right business climate and workforce, and I look forward to the additional opportunities that this expansion will bring.”

“Arkay Packaging has made a name for itself as a manufacturer of high-end packaging materials,” said Jim Cheng, Virginia Secretary of Commerce and Trade. “This expansion brings not only new, high-tech equipment to the operation in Botetourt County, but also adds 25 new jobs to the company’s strong employee base.”

Arkay provides global cosmetic and pharmaceutical companies with highly creative, cost-effective and eco-friendly packaging solutions using cutting-edge technologies and a palette of special effects. Headquartered in Hauppauge, New York, the company is a third generation family-owned business established in 1922.

“This expansion enables Arkay to increase capacity and continue to be the leader in innovative packaging solutions,” said Mitchell Kaneff, Chairman/CEO of Arkay Packaging. “Looking back, there were many incentives for us to move our plant to Roanoke. Being located so close to Interstate-81 gave us a strategic advantage with our customers. We also loved the fact that Virginia was a right-to-work state and the lowered electric costs were certainly an enticement.”

The Virginia Economic Development Partnership worked with Botetourt County and the Roanoke Regional Partnership to secure the project for Virginia. Through its Virginia Jobs Investment Program, the Virginia Department of Business Assistance (VDBA) will provide funding and services to support the company’s recruitment and training activities.

“This is the latest example of the strength of existing business in Botetourt County,” said Gerald Burgess, Botetourt County Administrator. “The excellent business climate and strong workforce create an environment of success for innovative, growth-oriented companies such as Arkay.”