Gov. Heineman Awards $238,000 in Community Development Funding to Hastings

(Hastings, Neb.) Gov. Dave Heineman awarded $238,000 in Community Development Block Grant (CDBG) funding to the city of Hastings to help Gibraltar Packaging Group, Inc. relocate operations to the company's Hastings headquarters. The project is expected to create 25 new jobs.

"This project is evidence that Nebraska's central location is a strong selling point for many businesses in the shipping and transportation industries," Gov. Heineman said. "I'm very pleased these funds will help this Nebraska-based company expand and that we will see new jobs as a result."

The city of Hastings will loan the company $234,000 in CDBG funding along with $16,000 from the city's program income fund for working capital to help cover the cost of moving operations, in addition to plans for the Hastings facility expansion. The city will use the remaining $4,000 for administrative costs. LaSalle Business Credit is also investing $950,000 to bring the total project cost to more than $1.2 million.

The company had an opportunity to relocate a substantial part of its business to the Hastings facility or another plant in North Carolina and selected Nebraska, due to the opportunity to be in close proximity to some of its largest clients. The new positions will primarily include press operators and other jobs in the manufacturing process.

Started in 1967, the company later merged with RidgePak Corporation of Ft. Wayne, Ind. and Standard Packaging and Printing Corporation of Mt. Gilead, N.C.

The project is part of a program directed by the Nebraska Department of Economic Development (DED), which assists with the development of businesses and communities throughout the state. Federal funds are made available to Nebraska from the U.S. Department of Housing and Urban Development's CDBG program.

FOR INFORMATION, CONTACT:

Aaron Sanderford, Gov's Office, 402-471-1967

Ashley Cradduck, Gov's Office, 402-471-1970

Stew Jobes, DED, 308-385-6355