Film and bag manufacturer Presto Products Co. will add five new manufacturing lines at its South Boston, Va., plant, creating 22 new jobs at a cost of $6 million.
“This project will not only increase the company's competitiveness in its market, but also will help secure the future of the plant and 375 employees,” Virginia Gov. Bob McDonnell said in a June 17 news release.
Appleton, Wis.-based Presto is a subsidiary of Reynolds Packaging Group, which is owned by Auckland, New Zealand-based Rank Group Ltd. through its Reynolds Group Holdings Ltd. holding company. Presto makes products ranging from private-label food and disposal bags to packaging closures, soil-stabilization materials and specialty stretch films.
“We are extremely excited that this expansion will allow us to continue to strive towards our vision and allow us to continue to have a strong presence in this community,” Joy Johnson, plant manager, said in the release.
Presto officials did not return calls seeking further comment.
Through its Virginia Jobs Investment Program, the state Department of Business Assistance will provide funding and services to support the company's recruitment, training and retraining activities, according to the release.
Halifax County officials said the Presto facility — the first tenant in the Halifax County Industrial Park — has grown at an average of $2 million annually during the last four years.
In addition to the Appleton and South Boston plants, Presto operates facilities in Lewiston, Utah; Carrollton, Texas; and Weyauwega, Wis.
Presto is part of Reynolds Group Holding's Reynolds Consumer Products business, which posted earnings before interest and taxes of $68 million on sales of $541 million for the first quarter of 2011, compared to earnings before interest and taxes of $34 million on sales of $259 million for the year-ago period.
