Printpack to expand manufacturing operations despite closing Virginia factory last year

By Jenny Eagle contact

- Last updated on GMT

Congressman Bobby Scott with Printpack's Jimmy Love
Congressman Bobby Scott with Printpack's Jimmy Love

Related tags: Economics, Economy

Printpack, a US flexible packaging converter, will invest $25.7m to expand its manufacturing operation in Newport News, Virginia, despite closing its Fredericksburg plant last June.

The news comes after the company secured funding from the Virginia Economic Development Partnership; a $200,000 performance-based grant from the Virginia Investment Partnership program; state benefits from the Virginia Enterprise Zone Program and Virginia Jobs Investment Program.  

Expansion to create 50 jobs

Jim Stevenson, director of operations, Printpack, said the expansion will create 50 jobs in its rigid packaging division.

We are pleased to be expanding our business in Virginia and are very appreciative of the support from Governor McAuliffe, the Virginia Economic Development Partnership, and the City of Newport News​,” he said.

Printpack pioneered the barrier rigid container business in Virginia in 1984 and we have been growing here ever since.

After considering other locations for our expansion, we decided to expand in Virginia largely because our well-established, capable workforce provides us a solid base of expertise to build upon. Additionally, strong relationships with and support from our local governments made expansion in Virginia a solid decision.” 

Founded in 1956 and headquartered in Atlanta, Printpack is a privately-held manufacturer of flexible and specialty rigid packaging. Employing 4,000 plus associates worldwide, with 25 manufacturing facilities in the US, Mexico and China. 

Fredericksburg closes Q1 2016

The firm closed its Fredericksburg  label and tamper-evident band business, in Virginia, last year and operations are expected to cease completely in the first quarter of 2016.

Dennis Love, chairman/CEO, Printpack, said at the time the closure was ‘necessary to enhance its competitiveness in a very challenging market’.

The Fredericksburg plant has been an important contributor to the company’s success since its opening in 1981 and has been the foundation of our labels business since the late 1980s​,” he added.

The decision to close this facility was very difficult for us but we appreciate the loyalty and dedication of our Fredericksburg associates, many of whom have been with us since the early years of this facility’s operation. We wish them well as we help them through this transition​.”

In a turnaround of funding, Governor McAuliffe said he was thrilled to announce ‘this significant investment in Newport News that will help create jobs and economic activity in a region that has been hard hit by federal defense cuts’. 

Creating new jobs in the manufacturing sector is a key component in our efforts to diversify and build a new Virginia economy​,” he added. 

My proposed budget includes funding to strengthen Virginia’s workforce system and economic development programs to make the Commonwealth even more attractive to companies like this​.” 

Florence Kingston, director of development, City of Newport News, added: “Printpack has seen long standing success in our EDA-owned Oakland Industrial Park, and we are excited by their increased customer demand and the market growth of the rigid plastics industry driving their expansion.”    

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