News Room

FOR IMMEDIATE RELEASE
June 25, 2007

Columbus, OH -- Lieutenant Governor Lee Fisher today announced that the Ohio Tax Credit Authority has approved Job Creation Tax Credits for six companies involved in business location or expansion projects that, if located in Ohio, are expected to contribute more than $136 million to Ohio's economy, create 704 positions, and retain 2,555 positions for Ohioans.

"Job creation and retention are essential to advancing our state's economy, supporting Ohio's workforce, and strengthening our communities," said Lt. Governor Fisher, who also serves as Director of the Ohio Department of Development." These projects, with the State's support, represent potential investments of more than $136 million and could create opportunities for workers in a variety of fields, including alternative energy, manufacturing, and research and development."

EPD, Inc. (EPD), to be located in Fairlawn (Summit County), has been awarded a 55 percent tax credit for a seven-year term to establish a new facility to increase operating capacity. The value of the tax credit is estimated at $4,736,007 over the term, and the company would be required to maintain operations at the project site for 14 years. Founded in 1898 as Goodyear Engineered Products, EPD manufactures hoses, conveyor belts, power transmission belts, and tank tracks for military and off-road vehicles. The company serves more than 4,500 customers around the world in a variety of markets and employs approximately 6,500 associates in 32 manufacturing facilities worldwide. EPD is a wholly-owned subsidiary of EPD Holdings Inc. EPD Holdings Inc. is a privately-held company owned by the Carlyle Group. The company proposes to construct two new buildings, invest in leasehold improvements and purchase machinery and equipment. EPD will lease 10,000 and 12,000 square-foot facilities that will serve as offices for executives, sales and marketing managers, finance and accounting personnel, and IT professionals. A technology center will house at least 40 highly trained, highly skilled research and development professionals conducting research in chemistry and design, as well as product engineering testing and analysis. This $4.9 million project is expected to create 249 positions within the first three years of the project's initial operations.

Ohio Renewable Fuels LLC (ORF), to be located in Fremont (Sandusky County), has been awarded a 50 percent tax credit for a seven-year term to establish an ethanol production facility. The value of the tax credit is estimated at $102,408 over the term, and the company would be required to maintain operations at the project site for 14 years. ORF is a newly created limited liability corporation that will be developed by the Michigan Sugar Company, which is a grower's cooperative based in Bay City, Michigan and is owned by approximately 1,300 growers. Michigan Sugar sells sugar under the brands Pioneer Sugar and Big Chief Sugar. A public stock offering to accredited investors will be made and Michigan Sugar will contribute assets in the form of equity to ORF. Michigan Sugar will own less than 20 percent of the newly formed ORF. The company proposes to redevelop an existing 100,000 square-foot sugar beet processing facility and convert it to a 50 million gallon a year ethanol production facility. ORF will invest in machinery and equipment, land and building acquisition, building construction, and infrastructure improvements. This $87 million project is expected to create 37 positions within the first three years of the project's initial operations.

Bear Creek Operations, Inc. (a division of Harry and David), located in Hebron (Licking County), has been awarded a 45 percent tax credit for a seven-year term for a potential expansion of an existing facility. The value of the tax credit is estimated at $351,532 over the term, and the company would be required to maintain operations at the project site for 14 years. Harry and David was founded in 1914 as a pear grower in Oregon and has since grown into a multi-channel retailer and producer of branded gift-quality fruit, gourmet food products, and other gifts marketed under the Harry and David brand. The company's marketing channels include direct marketing via telephone, Internet, mailfax and telemarketing, and also through business-to-business, its Harry and David stores, and wholesale distribution to select retailers. The company proposes to construct an addition and make improvements to existing facility and purchase machinery to increase production capabilities. Ohio is in competition with Illinois, Kentucky, Tennessee, and Pennsylvania for this nearly $13 million project, which is expected to create 163 jobs and retain 225 positions within the first three years of the project's initial operations.

SpeedFC, Inc. (SpeedFC), to be located in Etna Township (Licking County), has been awarded a 35 percent tax credit for a five-year term to establish a new multi-client third-party fulfillment center facility. The value of the tax credit is estimated at $38,183 over the term, and the company would be required to maintain operations at the project site for 10 years. SpeedFC was founded in 2000 and is a provider of direct-to-consumer and business-to-business customized, integrated, and outsourced transaction management services for traditional and e-commerce companies. SpeedFC provides a suite of services including fulfillment, a call center, web development, web hosting, web marketing, and other related services. SpeedFC performs virtually all of its services with in-house personnel to provide the high degree of customization its clients require. The company proposes to lease a 160,000 square-foot facility in the Etna Corporate park and invest in leasehold and infrastructure improvements and acquire new machinery and equipment. Ohio is in competition with Kentucky, Pennsylvania, and Michigan for this $920,000 project, which is expected to create 40 positions within the first three years of the project's initial operations.

FirstEnergy Corporation (FirstEnergy), located in Akron (Summit County), has been awarded a 55 percent tax credit for an eight-year term to consolidate several smaller facilities in order to increase operating capacity. The value of the tax credit is estimated at $838,485 over the term, and the company would be required to maintain operations at the project site for 16 years. FirstEnergy is a diversified energy company that is headquartered in Akron and is involved in the generation, transmission, and distribution of electricity, as well as energy management and other energy-related services. The company's seven electrical utility operating companies comprise the nation's fifth largest investor-owned electric system. FirstEnergy has 13,948 megawatts of generating capacity and services 4.5 million customers in its 36,100 square-mile service area in New Jersey, Ohio, and Pennsylvania. The company proposes to construct a new 200,000 square-foot facility and is contemplating a second development phase that may include a reconfiguration of its downtown Akron facility. This phase would involve the purchase of new computers and workstations for job growth of FirstEnergy Solutions and the Asset Management division of FirstEnergy. This more than $28 million project is expected to create 150 jobs and retain 2,299 positions within the first three years of the project's initial operations.

E Retailing Associates, LLC (E Retailing), located in Columbus (Franklin County), has been awarded a 35 percent tax credit for a seven-year term to expand its customized clothing manufacturing facility. The value of the tax credit is estimated at $115,062 over the term, and the company would be required to maintain operations at the project site for 14 years. E Retailing, which was founded in 1992 and was originally known as LA Sports Apparel, began as a supplier of customized jerseys and apparel for school and collegiate sports teams in the Central Ohio area. The company has evolved into the online customized clothing industry and targets multiple demographic groups. E Retailing reaches its customers through a variety of Web sites, including CustomizedGirl.com and ShopLattitude.com. The company proposes to purchase new machinery and equipment and invest in the construction of a new 30,000 square-foot facility to house its manufacturing activities and customer service, research and development, and management functions. Ohio is in competition with Florida for this more than $1.4 million project, which is expected to create 65 jobs and retain 31 positions within the first three years of the project's initial operations.

The Job Creation Tax Credit is a refundable tax credit against the business corporate franchise or income tax. The credit equals a percentage of new state income tax withheld on new, full-time employees in Ohio.

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Media contacts: Kelly Hassett or Kimber Perfect at (614) 466-2609