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National Gypsum Announces Plans for Arizona Plant


National Gypsum Company announced plans today to build a state-of-the-art wallboard plant near Phoenix, AZ, doubling its presence in the West. The new plant will be capable of producing one billion square feet of wallboard, enough to complete 100,000 average-sized homes annually.

“We are excited about expanding in the West and growing with those markets,” said CEO Thomas C. Nelson. “Our investment in the Phoenix/Tucson region will be approximately $140 million, and we expect the plant to be operational by mid-2008. We are in the final stages of site selection, with our preferred site being in Eloy, AZ, about 60 miles south of Phoenix. Plant operations will be based on our successful low-cost model, supported by a nearby rock source, high-speed technology, direct rail access, and large-scale production. The new plant will create approximately 100 direct and 150 indirect jobs.”

"This is a significant project for the entire region," said Arizona Governor Janet Napolitano. "We are happy to have worked with and appreciate the hard work of the Greater Casa Grande Valley Economic Development Foundation and Arizona Public Service to help move this forward."

The new plant will serve Phoenix, Tucson, Las Vegas, San Diego, Albuquerque, El Paso, and Los Angeles by truck. Other West Coast markets will be served by rail including Denver, Salt Lake City, Sacramento, Boise, and Seattle.

“Our three facilities in the West have operated successfully for decades,” said Craig Weisbruch, senior vice president, Sales & Marketing. “The new Arizona plant will allow us to grow with our customers and better serve them.”

Next year, National Gypsum will open a new high-speed wallboard plant near its headquarters in Charlotte. This plant will produce up to one billion square feet of wallboard annually and serve the growing Southeast markets where the company already has a strong presence with plants in North Carolina, Georgia, Florida, and Louisiana.

The company has won numerous awards for manufacturing excellence. Last year its Apollo Beach Plant near Tampa was named one of the nation’s 10 best manufacturing facilities by IndustryWeek magazine. In 2002, its plant near Pittsburgh won the Pennsylvania Governor’s Award for Environmental Excellence. The company’s safety record is recognized as one of the best in the United States.

Headquartered in Charlotte, National Gypsum is a leading supplier of wallboard, interior finishing products, and cement board to the construction industry. It has a network of 40 facilities in North America, including its own paper mills and gypsum mines and quarries.

April 28, 2006

Contact:
Nancy Spurlock
704/365-7556
nhspurlock@nationalgypsum.com


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