Matalco Kentucky Plans Simpson County, Kentucky, Alloyed Ingot Plant
The new facility will occupy space in the recently acquired 461,000-square-foot facility on 107 acres on 300 Brown Road in Franklin. The property, which was purchased by an affiliated company, formerly served as the home to a Quad/Graphics printing operation.
"We are extremely excited about entering this next phase of our corporate strategic growth plan. This investment demonstrates our continued commitment to serve our customers, expand our market share and is in direct response to the growth and demand that we are experiencing with our products and services," said Robert Roscetti, vice president, corporate development at Matalco Inc. "Overall, we are delighted to be part of this progressive community as this will bring new jobs and opportunities to the region."
The brownfield remelt rolling ingot facility will produce alloyed ingots from recycled aluminum for customers throughout the Midwest. The facility is expected to be operational by mid-2022, with annual capacity to produce 270 million pounds of aluminum ingots.
"I would like to welcome Matalco to Kentucky as the latest addition to our thriving aluminum sector and thank the company for its commitment to create 60 quality jobs for Kentuckians," Governor Andy Beshear said. "Aluminum-related and other primary metals businesses are growing rapidly in our state and helping us build Kentucky's economy back stronger than ever. Matalco will be a great fit in Kentucky as the company looks to expand its presence in the U.S. market. Congratulations to Matalco, Simpson County and the families in the surrounding area who will benefit from this great project."
To encourage the investment and job growth in the community, the Kentucky Economic Development Finance Authority (KEDFA) in January preliminarily approved a 10-year incentive agreement with the company under the Kentucky Business Investment program. The performance-based agreement can provide up to $1 million in tax incentives based on the company's investment of $53.5 million and annual targets of creation and maintenance of 60 Kentucky-resident, full-time jobs across 10 years, and paying an average hourly wage of $25 including benefits across those jobs.
By meeting its annual targets over the agreement term, the company can be eligible to keep a portion of the new tax revenue it generates. The company may claim eligible incentives against its income tax liability and/or wage assessments.In addition, Matalco can receive resources from the Kentucky Skills Network.
"TVA and Franklin Electric Plant Board congratulate Matalco on its decision to establish operations in Franklin. Helping to foster new job opportunities and investment in the communities we serve is fundamental to TVA's mission of service," said John Bradley, senior vice president of economic development at the Tennessee Valley Authority. "We are proud to partner with the Kentucky Cabinet for Economic Development and the Franklin-Simpson Industrial Authority to help further that mission and support companies like Matalco's future business success."
Matalco (U.S.) operates as part of Matalco Inc., a Brampton, Ontario-based company founded in 2005 that produces over 1 billion pounds of aluminum billets and slab ingots annually. The company currently provides products for customers throughout Canada and the Midwest and Northeastern regions of the U.S., as well as serving as a recycler for aluminum scrap conversion. Matalco also operates in Indiana and Wisconsin, and has two locations in Ohio.
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