LINCOLN, NEB.(July 29, 2005)—Governor Dave Heineman today awarded $505,000 in Community Development Block Grant (CDBG) funding to the city of Norfolk to assist MP Global Products, LLC, in rebuilding after a fire destroyed the manufacturing facility earlier this year. The project is expected to help the company retain 35 full-time jobs and many former employees.

“Anytime a community is faced with the economic loss of an employment center, it takes time to heal,” Gov. Heineman said. “This funding will help employees regain what was lost, and help this company take the next step in their efforts to rebuild.”

Following the fire, the business scaled back its operations and temporarily located offices in areas throughout the community. MP Global has continued marketing its specialized floor padding, interlocking tiling and deck products through distributors across the U.S. and around the world. The company has since been able to move some offices back into the least fire-damaged portion of the original building. An adjacent building, which was previously used as a warehouse, will be converted into the new manufacturing facility.

The company will use $500,000 in CDBG funds to purchase a hyper-compressing machine and a thermo-bonding oven used in the manufacture of the company’s flooring products. The remaining $5,000 will be available to the city of Norfolk for administrative costs. Project funding is part of a program administered by the Nebraska Department of Economic Development (DED). Federal funds are made available from the U.S. Department of Housing and Urban Development.

Alan Collison, owner and founder of MP Global Products, LLC, and Midwest Bank of Pierce, will invest more than $840,000 in machinery and equipment. The company will also make additional investments in infrastructure, leasehold improvements, equipment, and working capital. The Elkhorn Valley Economic Development Council (EVEDC) provided assistance in securing the lease.

In addition to assisting with the CDBG application, the city of Norfolk has provided assistance with infrastructure improvements to the new facility site. The company received technical assistance from the city, DED, EVEDC, the Nebraska Public Power District, and the Northeast Nebraska Economic Development District.

“We appreciate everyone’s support and assistance in helping MP Global Products rebuild a new and improved manufacturing facility, which will provide an opportunity to not only get back to business, but expand our product line and reach new markets,” Collison said.

MP Global, LLC, began as Midwest Padding, a flooring, bedding and furniture padding manufacturer in 1997. With success and changing market demands, the company began creating padding for wood laminate and ceramic flooring. Today, MP Global offers a wide range of floor padding and interlocking tile, as well as deck products.

CONTACTS:

Aaron Sanderford, Gov’s Office, 402-471-1967
Sheryl Hiatt, DED, 402-589-0027, This e-mail address is being protected from spam bots, you need JavaScript enabled to view it