Gov. Doyle: Governor Doyle Announces $111,000 Training Grant to Assist Expansion of Appleton Coated

Contacts:
Tony Hozeny, Department of Commerce, 608-267-9661
Jessica Erickson, Governor’s Office, 608-261-2156

Company Will Expand Manufacturing Capacity at Combined Locks Facility

COMBINED LOCKS – Governor Jim Doyle announced today that the
State of Wisconsin will provide a $111,000 training grant to assist Appleton
Coated, LLC as it invests $40 million to expand the coated manufacturing
capability of its Combined Locks facility. The Governor made the
announcement during a visit to the company’s Combined Locks plant.

“Fostering the growth of our paper industry is critical to a
strong Wisconsin economy, and is an important part of my ‘Grow Wisconsin’
Initiative,” Governor Doyle said. “If we are going to continue to lead the
nation in producing paper, we need to upgrade and modernize our paper
industry. And, as our companies upgrade their technology, we need to make
sure that our workers receive the training they need to use that new
equipment and move up the economic ladder.”

“This grant will help Appleton Coated strengthen the skills
of its workers as it upgrades its facilities and makes a new investment in
Wisconsin,” the Governor said. The grant is part of the Department of
Commerce’s Customized Labor Training Program, which provides grants to
companies to help cover a portion of the costs associated with training
employees on new technologies, industrial skills, or manufacturing
processes.

Appleton Coated intends to rebuild its off-machine coater,
add a second off-line calender and roll-wrapping equipment, and modify its
No. 7 Paper Machine. The project will significantly increase the
premium-coated paper manufacturing capability to an annual capacity in
excess of 425,000 tons. The company will use the $111,000 grant to train 99
current employees. Total cost of the training project is $222,000.

“The Wisconsin paper industry is under attack from global
competitors. This training grant reinforces the Governor’s commitment to
our industry,” said Mike Van Eyck, President and CEO of Appleton Coated.
“It also enables us to equip our employees to leverage the technology
associated with our $40 million investment.”

Through his “Grow Wisconsin” Initiative, the Governor’s
Administration is committed to strengthening and upgrading the state’s
manufacturing sector, including the paper industry, and to providing
training to workers to update their skills.

The Governor has proposed a worker training program to
provide free job training services to manufacturers that create a
significant number of new jobs in Wisconsin or make major investments in
their workplace. He has directed the Department of Commerce to focus many
of its training programs to help manufacturers upgrade the skills of their
workforce. And the Governor has proposed a Manufacturing Competitiveness
Program to help manufacturers improve their productivity, apply new
technology, and become more competitive. The Legislature, however, has yet
to take up these proposals.

Appleton Coated, LLC, is headquartered in Kimberly, with
manufacturing operations in Combined Locks and distribution centers in
Remington, IN; Los Angeles, CA; and Vail, PA. Appleton Coated is a premier
manufacturer of high-end coated papers marketed in North America under the
brand name, Utopia.

Since 2000, Commerce has provided more than $22.1 million in
loans and grants to 95 Outagamie County projects that retained 852 jobs,
created 594 jobs, and leveraged $38.4 million in new investment.