NEW YORK: The Sanford based yarn maker, Frontier Spinning Mills said it will invest $20 million in new equipment and increase the manufacturing space by 70,000 square feet which will create employment for 42 new employees taking the total employees to 450.
The company was established in 1996.
"When our existing businesses expand locally, that makes it clear to everyone that doing business in our community is worthwhile and profitable," said Bob Heuts, director of Lee County Economic Development Corp.
The project is expected to be completed by January, he added.
Frontier CEO George Perkins said "We know the community and we are comfortable doing business here." The company has considered other locations where we already have manufacturing operations, he added.
The decision to expand locally was largely due to the incentives package worth up to $564,564 over five years from the city and county and also the state Commerce Departmentís $40,000 incentive from the One North Carolina Fund, an economic development program.
Frontier makes fabrics used for fleece, hosiery and cottons. Nationally, the company employs 1,700 in nine plants across the Southeast. Frontier has relied on its high-tech facilities and its location to help it stand up against foreign competitors.
Heuts said that Frontier is one of several companies to expand recently in Lee County. "We have got good leadership here," Heuts said. "They continue to be very supportive of what it takes to be a good community."
Other companies who have undergone expansion recently include Challenge Printing, Caterpillar, Wyeth Pharmaceuticals and Coty Cosmetics.