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July 21, 1997 02:00 AM

AUSTIN FOAM IS RELOCATING

PLASTICS NEWS REPORT
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    AUSTIN, TEXAS — Austin Foam Plastics Inc. plans to move into a new facility in November. The company makes plastic foam packaging materials for customers that include Dell Computer Corp.

    The 122,000-square-foot facility is under construction on the firm's 14-acre site at an industrial park in the Austin suburb of Pflugerville. Land and facility construction costs are estimated at more than $4.5 million.

    Chief Executive Officer Gene Kurtz said: ``We are leasing about the same amount of space right now, so we will build rather than lease. However, we will continue to lease about 45,000 square feet for manufacturing in a site that we currently occupy.''

    He added that the Austin firm is consolidating operations now located in four separate, leased buildings into the new building.

    Because the new site is in an Austin suburb, Kurtz said he does not expect the move to affect the company's current 160-170 employees. In fact, he expects to increase staffing and expand manufacturing capabilities by adding at least two new die presses.

    ``We are conservatively expanding to 180 employees, but expect numbers closer to 200-225,'' Kurtz said.

    He declined to disclose the company's annual sales.

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