Governor McDonnell Announces $27 Million Investment in City of Newport News

RICHMOND - Governor Bob McDonnell announced today that Canon Virginia Inc., a wholly owned subsidiary of Canon U.S.A., Inc., will invest $27 million to expand its operation in the City of Newport News. Canon Virginia, Inc. will add the manufacturing of toner for Canon copiers in 30,000 square feet of upgraded space at its Newport News campus.

Governor McDonnell met with Canon Inc. in Tokyo about this project during his recent Asia Marketing Mission.

Speaking about today’s announcement, Governor McDonnell said, “The Commonwealth and Canon Virginia have maintained a strong partnership for nearly 30 years, and I am honored to have the opportunity to work directly with the company and its parent to continue to strengthen that bond. This investment and expansion project is significant for the Newport News campus, as it represents not only a new opportunity stemming from our recent visit to Japan, but also maintains the focus of Canon’s overall global production strategy and the role that the Virginia operations play. The addition of toner manufacturing at the Newport News campus further solidifies the future viability of the plant and brings Canon Virginia’s total capital investment to more than $371 million in just the last four years.”

“Continued investment in Canon Virginia’s Newport News operation is tremendous news, as the company employs nearly 2,000 citizens of the Commonwealth,” said Jim Cheng, Virginia Secretary of Commerce and Trade. “We are thrilled that toner production will now be at the Virginia operation, and are confident that it will provide a strategic advantage to house the process onshore and build on the success that Canon Virginia has experienced in the Commonwealth since 1985.”

The Virginia Economic Development Partnership worked with the City of Newport News to secure the project for Virginia. Governor McDonnell approved a $3 million performance-based grant from the Virginia Investment Partnership program, an incentive available to existing Virginia companies.

Headquartered in Newport News, Canon Virginia Inc. serves as the manufacturing support center for Canon U.S.A. Canon Virginia uses world-renowned production systems and extensive technical and manufacturing expertise to offer manufacturing solutions, including injection mold tools, metal and plastic parts, product manufacturing and reverse manufacturing.

"This investment and expansion is a symbol of our commitment to the Commonwealth of Virginia,” said Toru Nishizawa, president and CEO of Canon Virginia, Inc. “We thank Governor McDonnell and the City of Newport News for presenting us this generous grant, which will help us complete the expansion successfully.”

Canon U.S.A., Inc., is a leading provider of consumer, business-to-business, and industrial digital imaging solutions. With approximately $40 billion in global revenue, its parent company, Canon Inc. (NYSE:CAJ), ranks third overall in U.S. patents registered in 2012 and is one of Fortune Magazine's World’s Most Admired Companies in 2013. In 2012, Canon U.S.A. has received the PCMag.com Readers' Choice Award for Service and Reliability in the digital camera and printer categories for the ninth consecutive year, and for camcorders for the past two years. Canon U.S.A. is committed to the highest level of customer satisfaction and loyalty, providing 100 percent U.S.-based consumer service and support for all of the products it distributes.

Newport News Mayor McKinley L. Price, D.D.S. stated, “The continued growth and success of Newport News businesses remains a priority for our City and we are pleased to have been successful in working with the Commonwealth and Canon Virginia to both attract and secure this project.”

Florence G. Kingston, Newport News Director of Development, commented, “Canon Virginia’s expansion is a true testament to the company’s commitment to excellence in manufacturing and also demonstrates that the City of Newport News and Commonwealth are attractive places for global manufacturers to do business.”