Cascades Inc. to invest $275 million in Hanover County
Cascades Inc. (TSX: CAS), a Canadian leader in the recovery and manufacturing of green packaging and paper tissue products, plans to invest $275 million to establish a lightweight recycled containerboard operation in the former Bear Island Paper Mill in Hanover County. The project will create 140 new jobs.
“This investment and the 140 jobs it will create is a major win for Hanover County and the Commonwealth of Virginia,” said Governor Northam. “International companies continue to choose the Commonwealth for its world-class workforce and outstanding infrastructure. The location in Hanover County offers Cascades a turnkey facility ready for the company to install equipment and put a shuttered asset back into use, creating good jobs for Virginia workers in the region.”
Founded in 1964 and headquartered in Kingsey Falls, Canada, Cascades produces, converts, and markets packaging and tissue products composed mainly of recycled fibers. The company has 11,000 employees in more than 90 manufacturing locations in North America and Europe. Cascades’ dedication to recycling and research and development serves as a driving force for the company to deliver innovative, sustainable green products. Cascades’ shares trade on the Toronto Stock Exchange.
“We are proud that a global company like Cascades Inc. will expand its U.S. market reach from the new operation in Virginia,” said Secretary of Commerce and Trade Brian Ball. “This tremendous project is a win-win for the company, Hanover County, and the Commonwealth, and reinforces Virginia’s business case and ability to compete. We look forward to a strong corporate partnership with Cascades, and thank the company for its significant investment and 140 new, high-paying jobs.”
Commenting on the project, Mr. Mario Plourde, CEO of Cascades, stated, “This project is directly in line with the goals of our strategic plan which include, among other things, to invest in our core sectors of packaging and tissue through modernization, and expand our geographical footprint. In addition to the paper machine that is particularly well suited for conversion, the Bear Island site is strategically located for raw materials and logistics. It also offers a platform for future development. We expect Bear Island facility to be a highly competitive asset that will significantly contribute to the success of our containerboard operations.”
The Virginia Economic Development Partnership worked with Hanover County, The Port of Virginia, the Greater Richmond Partnership, and the General Assembly’s Major Employment and Investment (MEI) Project Approval Commission to secure the project for Virginia. Governor Northam approved a $1.95 million grant from the Commonwealth’s Opportunity Fund to assist Hanover County with the project. The company is eligible to receive Sales and Use tax exemptions on manufacturing equipment, and funding and services to support the company’s employee training activities will be provided through the Virginia Jobs Investment Program.
“As Chairman of the Board of Supervisors I want to welcome Cascades Inc. to Hanover County, Virginia. The Bear Island Facility has played a critical role in the local Hanover economy for almost 40 years, and we are excited to see that continue with the significant capital investment being made to up-fit and repurpose the plant, along with the new jobs that this announcement will bring. I look forward to our partnership with Cascades Inc. for many years to come,” said Chairman of the Hanover County Board of Supervisors Sean Davis.
“Economic Development is a team sport and there are many people who have worked tirelessly to make this project a reality in Hanover, including our Board of Supervisors, Economic Development Authority, Administration, and Public Utilities and Planning,” said Hanover County Director of Economic Development Linwood Thomas. “We are excited to have played a small role in jumpstarting an idle facility that will put people back to work and bring significant tax revenues to Hanover County once again.”
“I thank Cascades Inc. for its major investment in the Commonwealth, which represents an important win for the company, Hanover County, and Virginia, and will return a shuttered facility to productive use,” said Chairman of the House Appropriations Committee and the General Assembly’s Major Employment and Investment (MEI) Commission Delegate S. Chris Jones. “Economic development is a true team effort in Virginia, and I’m pleased that the MEI Commission was able to partner with and support the Governor’s office, VEDP, Hanover County, The Port of Virginia, and others to help secure this new investment and job creation in Hanover County.”
“Virginia continues to demonstrate its competitiveness as a prime location for businesses to operate and expand,” said Senate Majority Leader and Co-Chair of the Senate Finance Committee Thomas K. Norment, Jr. “I congratulate VEDP, MEI, and the partners that collaborated on this significant win for the Commonwealth, and I am confident that Cascades Inc. will thrive in Hanover County.”
“The decision made by Cascades Inc. to invest $275 million to build its manufacturing facility in Hanover County says, very clearly, that Virginia is a world-class business destination,” said Chief Executive Officer and Executive Director of the Virginia Port Authority John F. Reinhart. “This is an example of a manufacturer recognizing the value of the Commonwealth’s many business advantages and assets, which includes the expanding global reach of The Port of Virginia. When companies capitalize on these assets the result is investment and job creation in Virginia.”
“I am so very pleased to welcome Cascades Incorporated to Hanover County, Virginia,” said Delegate Buddy Fowler. “Cascades’ financial commitment of $275 million in the former Bear Island facility represents a substantial capital investment in Hanover County, and will create hundreds of direct and indirect jobs for our community. Cascades’ decision to locate here is an affirmation of the Commonwealth’s commitment to be the most business-friendly state in the nation. I am so proud Cascades chose Hanover County and look forward to working with them in the future.”
“Once again, a major manufacturer has chosen Hanover as the ideal location to grow and prosper,” said Senator Ryan T. McDougle. “Cascade’s decision to establish a recycled lightweight linerboard manufacturing facility in Hanover County is further evidence of our business-friendly environment and fantastic workforce. We are excited that Cascades has chosen Virginia as its new home.”