Trans Western Polymers Inc., a major bag manufacturer based in California, plans to build a plant in Nevada with a possible eye on moving operations there, according to regional government and utility officials in Nevada.
The company, now headquartered in Livermore, Calif., has purchased 19 acres east of Sparks, Nev., in Storey County, said Julie Ardito, spokeswoman for the Economic Development Authority of Western Nevada. The deal was signed Feb. 17.
The company is not scheduled to put the new building to use until January 2007 and still must file for permits, said Ardito, who is based in Reno, Nev. The building is expected to be at least 100,000 square feet, and possibly as large as 300,000 square feet, officials said.
Another economic development official who worked closely with Trans Western said the company is considering a move out of California. Utility costs are 25-30 percent less in Nevada than in California and that is driving the decision, said Stan Thomas, manager of economic development for Sierra Pacific Power Co. of Reno.
Trans Western now operates plants in Livermore, near San Francisco; and near Tamaqua, Pa.
``They saw the bottom line shrinking in California,'' Thomas said in a Feb. 23 telephone interview. ``They looked at us three times but never really pulled the trigger before. But they are getting totally fed up with [the utility situation] in California. They'll keep that [Livermore] plant open until they are up and running and producing here.''
Company officials could not be reached for comment before deadline.
Thomas said the company plans to hire about 125 workers in stages after ramping up in Nevada. Local development officials estimate Trans Western will bring about $23 million to the area economy in annual wages and other benefits, Ardito said.
Trans Western makes private-label bags, including polyethylene food bags and trash-can liners, and plastic cutlery.
Joon Bai, a Korean immigrant, founded and owns the company. News reports and company information pin annual sales at between $55 and $100 million.