Cabinet for Economic Development
Governor Beshear Announces Lubrizol Advanced Materials to Invest $40 Million, Retain 79 Jobs in Calvert City
Investment made possible by state incentive program designed to assist existing businesses retool Kentucky facilities
FRANKFORT, Ky. (May 21, 2010) – Gov. Steve Beshear and Cabinet for Economic Development Secretary Larry Hayes today announced Lubrizol Advanced Materials, a specialty chemical company, will invest approximately $40 million in its Calvert City plant, allowing the company to meet increasing customer demand and secure the jobs of its 79 employees.
The Marshall County plant, which has been in operation since the 1950’s, has undergone several expansions and upgrades, enabling the plant to maintain production. However, in order to remain competitive, the plant now requires additional space and equipment.
“Lubrizol’s $40 million investment in its Calvert City plant is exactly the result the Kentucky General Assembly and I envisioned with the passage of the Incentives for a New Kentucky bill last summer, updating Kentucky’s economic development incentive programs,” said Gov. Beshear. “The retention and expansion of our existing industries is vital to the economic recovery and prosperity of the Commonwealth and Lubrizol’s investment helps move us in the right direction.”
Lubrizol plans to construct a new building on an adjacent site to its current facility and will install new equipment and infrastructure to accommodate additional production lines. The new lines will utilize an advanced, proprietary process technology that will help sustain the viability of the plant and improve its ability to continue to provide customers with high quality products.
“In response to increasing market demand, and in anticipation of future growth, this investment will enable us to expand production capacity and update our infrastructure at our Calvert City facility,” said Tom Malafronte, senior vice president and general manager, Noveon® Consumer Specialties. “Strengthening our portfolio is one of Lubrizol’s strategies for growth, and investing in our physical infrastructure is one way to accomplish this goal. Investments like those planned for Calvert City will ensure that we continue to deliver the security of supply and level of service that makes us the supplier of choice for our customers. “
The facility specializes in the production of Carbopol® polymers. These polymers are used in a number of refillable or consumable applications including consumer goods for the personal care, home care and pharmaceutical markets.
“The Marshall County Fiscal Court is delighted that Lubrizol Advanced Materials has made the decision to expand their operation in Marshall County,” said Marshall County Judge Executive Mike Miller. “Lubrizol has been a corporate partner with Marshall County for many years and we look forward to working with them as they move to improve their operation in our county.”
“I am elated about the Lubrizol project. What a wonderful statement of confidence in Lubrizol’s Calvert City employee team,” said Calvert City Mayor Lynn Jones. “The announcement is a great encouragement for Calvert City, as well as, for the Lubrizol employees. I’m excited for Lubrizol.”
The Kentucky Economic Development Finance Authority preliminarily approved Lubrizol Advanced Materials for tax incentives up to $3 million through the Kentucky Reinvestment Act, a program that was expanded in the Governor’s Incentives for a New Kentucky bill last summer to assist companies that need to make significant capital investment in Kentucky facilities in order to remain competitive.
Headquartered in Wickliffe, Ohio, The Lubrizol Corporation owns and operates manufacturing facilities in 17 countries, as well as sales and technical offices around the world. Founded in 1928, Lubrizol has approximately 6,700 employees worldwide. Revenues for 2009 were $4.6 billion. For more information, visit www.lubrizol.com.
A detailed community profile for Calvert City (Marshall County) can be viewed at http://thinkkentucky.com/EDIS/cmnty/index.aspx?cw=097. Information on Kentucky’s economic development efforts and programs is available at www.ThinkKentucky.com.