RICHMOND - Governor Bob McDonnell announced today that Phoenix Packaging Operations, LLC, a subsidiary of Grupo Phoenix, will invest $20 million to expand its operation in Pulaski County. The company manufactures thermoformed rigid plastic packaging for customers in the U.S. The project will create 100 new jobs. Virginia successfully competed against Arizona for the project.

Speaking about today’s announcement, Governor McDonnell said, “In May 2010 I announced Phoenix Packaging’s plans to establish its first U.S. operation in Pulaski County. Less than one year later the company announced growth plans. Now, with this significant project, the company is expanding yet again, and creating 100 more new jobs in Pulaski. Phoenix Packaging is a tremendous corporate partner and asset to the New River Valley and Virginia, and continues to strengthen our manufacturing sector and add valuable jobs for our citizens.”

“The Commonwealth is proud to host the U.S. operations and North American headquarters for an international company that produces the packaging for many major companies and household names,” said Jim Cheng, Virginia Secretary of Commerce and Trade. “This project brings Phoenix Packaging’s job creation to nearly 500 new jobs for Pulaski County and the region, and is testament to the continually improving business climate in Virginia.”

Grupo Phoenix, a privately owned company, has been one of the leading manufacturers of injection-molded plastic packaging, thermoformed products, foil lidding and extruded barrier packaging in Latin America for the last 30 years. With 10 locations in Latin America and the United States, the company employs more than 4,000 people in four countries and exports to 30 countries worldwide. Grupo Phoenix manufactures packaging solutions for major companies and household names in the dairy, dessert, sauces and coffee market.

“Thanks to the continued support of Pulaski County and Governor McDonnell we decided to increase our production capabilities and bring additional jobs that we originally destined for overseas to Virginia,” said Alberto Peisach, President and CEO, Phoenix Packaging Operations. “With this expansion we continue to support the development and growth of a state and a county that, over the last two years since we established our presence, trusted Grupo Phoenix with carrying the vision of economic expansion and job creation. This has assisted us in continuing our growth, and has reminded us that believing in this great nation and working hard will bring success to our company and the communities where we work.”

The Virginia Economic Development Partnership worked with Pulaski County and the New River Valley Economic Development Alliance to secure the project for Virginia. Governor McDonnell approved a $250,000 grant from the Governor’s Opportunity Fund to assist Pulaski County with the project. The company is eligible to participate in the Virginia Enterprise Zone Program, administered by the Virginia Department of Housing and Community Development. 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.

Joe Sheffey, Chairman of the Pulaski County Board of Supervisors, echoed the Governor’s sentiments, stating, “Phoenix Packaging has quickly become a leading corporate citizen in Pulaski County and the New River Valley region. We are excited to be a partner in their continued growth, as their products are first class and their future is bright. The need to hire more employees and expand production in our community further exhibits the business-friendly climate in Pulaski County and Virginia. We appreciate the investment by Governor McDonnell, the assistance of the Virginia Economic Development Partnership, the initiative of the New River Valley Economic Development Alliance, and the dedication of the County economic development staff in securing the necessary infrastructure to best meet Phoenix Packaging's needs.”

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