Intertape Polymer Group Invests $26M to Relocate, Modernize SC Operations
Intertape Polymer Group, Marysville, Mich., announced plans to relocate its Columbia, S.C., manufacturing operations within the same region. The new facility will include state-of-the-art manufacturing equipment.
The relocation process and subsequent shutdown of the existing Columbia facility is expected to occur over a 2-year period and be completed the first half of 2015. The Columbia plant dates back to the 1960s.
“Intertape will be undertaking its largest single facility improvement in many years. This major investment of approximately $26 million in South Carolina is an unequivocal long-term commitment to the tape business, our employees and the state of South Carolina,” says Gregory Yull, president and CEO. “We anticipate annual productivity gains and energy savings in excess of $13 million starting in the first half of 2015 with the first full year effects to be realized in 2016. The new facility will also allow us to enhance our position in a highly competitive industry. Finally, we are particularly pleased with how this initiative will maximize safety for our employees and lower the impact of our operations on the environment.”
The new equipment is expected to cost approximately $26 million, of which $2.7 million was paid for in the fourth quarter of 2012. In 2013, capital expenditures associated with equipment for this project are expected to be $15-17 million out of a total expected expenditure of $33-39 million for the year. The company is currently reviewing different scenarios to determine whether the new building will be purchased or leased.