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Gov. Sanford Welcomes Additional Job Creation at Caterpillar Facility in Newberry

March 16, 2010

Gov. Sanford Welcomes Additional Job Creation at Caterpillar Facility in Newberry

Caterpillar plans to increase capacity for diesel and gas powered generator sets assembled in Newberry

COLUMBIA, S.C. - March 16, 2010 - Gov. Mark Sanford, the South Carolina Department of Commerce, Newberry County and the Central SC Alliance today announced Caterpillar plans to increase operations at its facility in Newberry County. The state and Newberry County have worked to assist the company with its expansion plans for Newberry, which should be completed in the next several years. The company expects employment at the Newberry facility to increase by about 500 people as a result of the capacity expansion project. Caterpillar is making a multi-year, significant capital investment in support of the Newberry expansion plan. The company opened the Newberry generator set facility in 2006 as part of Caterpillar's Electric Power Division

"The expansion of our Newberry operation is part of the Electric Power Division's strategic global manufacturing plan for better serving our customers," said Joseph Mulay, Newberry facility manager for Caterpillar. "South Carolina has been an excellent fit for our company, and we are pleased to be increasing operations at our Newberry facility. We appreciate the continued support we have received from the state Department of Commerce and local officials in Newberry County," Mulay added.

Caterpillar's Electric Power Division includes global design, packaging and marketing responsibilities for Caterpillar electric power generation products, including U.S. locations in South Carolina, Illinois, Indiana and Georgia and international locations in Northern Ireland, India, China and Brazil. The Electric Power Division includes products branded with the FG Wilson, Olympian and Caterpillar names. The Newberry facility currently produces a full range of diesel gensets under 200 kW for the North American market. It also produces a limited range of products in the 250 KW to 700KW range. The expansion plan would increase genset production in the 250-1250 kW range primarily for North American customers. These gensets are typically used as backup power for smaller retail operations, homes, farms and in municipal applications.

"As we work to compete in today's global economy, our state's commitment to lowering taxes, reducing regulatory burdens and maintaining a pro-business environment is critical. Today's announcement to create 500 new jobs is indeed a sign that we are moving in the right direction, and we remain committed to further enhancing the state?s business environment to allow our existing businesses, like Caterpillar, to be more competitive during these challenging economic times. I'd like to thank Caterpillar for choosing to grow in our state, and also applaud the hardworking team at Commerce as well as the local economic development community in Newberry County," said Gov. Mark Sanford.

"Caterpillar continues to enhance its four-county footprint in South Carolina, and this expansion is a positive indication that the efforts of dedicated economic development professionals at the state and local level are working to separate us from the competition for new jobs in this economy. The expansion of the Newberry facility will allow Caterpillar to reach its customers in the nation's fastest growing market efficiently and reaffirms South Carolina's ability to provide a high-skilled workforce and unmatched market access. Caterpillar is truly a world-class operation and its growth in Newberry County is sure to positively impact the local community and strengthen the company's commitment to our state over the long-term," said Joe Taylor, Secretary of Commerce.

"Around 10 years ago, Caterpillar made the decision to make a significant investment in Newberry County in the form of a very large diesel generator manufacturing plant. Several years later, the company occupied the building and began limited production. Now, the decision to hire up to 500 additional employees means the original decision to invest in Newberry has come full circle. We are ecstatic that Caterpillar has decided to increase its investment in Newberry and look forward to a long and close relationship with Caterpillar. This announcement means a much brighter future for many in and around Newberry County. Many thanks to the Newberry County Development Team and the County Council who have spent many hours in making this event possible. A special thanks to Secretary of Commerce, Joe Taylor, and his staff for their continued pursuit of jobs in the Midlands area and for making this historic announcement possible," said state Senator Ronnie Cromer.

"Newberry County could not be more pleased with today's announcement," commented Newberry County Council Chairman Henry Livingston. "It is always positive to see an existing industry grow and continue to invest in the community. Most importantly, it brings much needed quality job opportunities to the citizens of Newberry County. Caterpillar is reinforcing its commitment to Newberry's power generation facility reflecting continued confidence in the county's business environment and workforce. We are happy to support Caterpillar's success with this venture."

Central SC Alliance Chairman Jim Apple said, "Today's expansion announcement by Caterpillar further demonstrates the strong work ethic that exists here in Central South Carolina. Caterpillar is the world's largest manufacturer of high-speed diesel generator sets and engines and we could not be prouder to have them in Newberry County. We offer a lot of unique and distinct business advantages to companies that have a direct impact on the bottom line including a superior transportation network, a deep water seaport and employees that are highly productive with the skills to make best in class products."

The company plans to begin hiring for the new positions in the coming months. Individuals interested in job opportunities are encouraged to visit www.jointeamcaterpillar.com.

About S.C. Department of Commerce

The S.C. Department of Commerce works closely with economic development professionals throughout the state to recruit new jobs and investments and help existing businesses grow. Commerce has been recognized for its success in the areas of job creation and economic impact by Area Development and Business Facilities magazines. The S.C. Department of Commerce was one of 10 state economic development organizations to receive Area Development's Silver Shovel Award in 2009 and Commerce received the 2009 Deal of the Year award from Business Facilities magazine. Commerce received the top prize for Boeing's selection of North Charleston for the company's second final assembly plant for the 787 Dreamliner program. In addition to job and investment recruitment, the agency provides a range of business support services, offers grants for community development and infrastructure improvements, and provides tools to enhance workforce skills. For more information, visit www.SCcommerce.com.

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