NC: Pharmaceutical Company and Precision Plastics Manufacturer Partner to Create 241 Jobs in Multi-County Project | Trade and Industry Development

NC: Pharmaceutical Company and Precision Plastics Manufacturer Partner to Create 241 Jobs in Multi-County Project

Oct 11, 2010
Novo Nordisk and Nypro Plan $161 million investment in Johnston and Buncombe Counties

North Carolina Gov. Bev Perdue announced recently that Novo Nordisk, a global healthcare company and leader in diabetes care, and Nypro Inc., a global leader in manufactured precision plastics products, will expand operations in Johnston County and Buncombe County. The companies plan to create 241 jobs over the next four years and will invest $161 million combined. The two-company, multi-county project was made possible in part by state grants from the Job Development Investment Grant program and One North Carolina Fund.

 

“North Carolina continues to gain national attention for our job growth, and this wonderful announcement is an example of why,” said Gov. Perdue. “Our skilled workforce, custom education and training programs, and top-rated business climate are attracting global companies looking for the best place to expand or relocate.”

 

The Novo Nordisk facility currently employs more than 420 full-time workers in North Carolina. As part of the project, 85 jobs will be created at the site. While individual wages for the additional jobs will vary by function, the overall average for the new jobs will be $42,976, not including benefits. The Johnston County average is $31,408.

 

As part of the grant, 120 jobs will be created at Nypro in Buncombe County as a direct result of this project, and those jobs will be required as part of the grant agreement. Nypro currently employs 362 full-time employees within two facilities in North Carolina. In addition to the 120 jobs as part of the Novo Nordisk project, Nypro will create an additional 36 new jobs. While individual wages for the additional jobs will vary by function, the overall average for the Nypro jobs will be $30,951, not including benefits. The Buncombe County average is $32,968

 

In Clayton, Novo Nordisk plans an expansion of its existing facility to accommodate increased production of a new insulin delivery device. In Asheville, Nypro plans to build an additional 75,000 square feet to its existing facility to supply plastic injection molding, components and assembly for Novo Nordisk’s new device.

 

“This expansion project continues our productive relationship with the state of North Carolina and exemplifies our commitment to serving the needs of people with diabetes,” said Doug Wallis, corporate vice president and general manager, Novo Nordisk Pharmaceutical Industries, Inc. “We thank Governor Perdue, Secretary Crisco, and all the state and local government officials who have played a role in making this project a reality for their collaboration and support.”

 

According to Ray Grupinski, Group President, Healthcare for Nypro, “This combined growth of Nypro with our customer Novo Nordisk is part of Nypro’s partnership with our customer and our plan to expand healthcare plastics manufacturing at key sites around the world. Nypro has been part of North Carolina since 1987 and we are proud to be able to further North Carolina’s commitment to manufacturing employment.”

 

“Despite the tough economic times and critics who wanted to slash to the bone, North Carolina did not back away from investing in education, job training and transportation,” said Sen. Martin Nesbitt of Asheville. “That courage and foresight is paying off with decisions like today’s, with more and more companies deciding to locate or expand in North Carolina.”

 

“This is terrific news for our neighbors in Buncombe County,” said Rep. Jane Whilden, of Asheville, “but it’s also a win for the entire state, showing that we have done the right things to create one of the best business climates in the country.”

 

To help facilitate these expansions, Novo Nordisk has been awarded a $400,000 grant from the state’s One North Carolina Fund, and Nypro has been awarded a $200,000 grant. This fund provides cash grants to attract business projects deemed by the governor to be vital to a healthy and growing state economy. No money is paid up front and companies must meet job creation and investment targets to receive payments. One North Carolina Fund grants also require a local match, and this grant is contingent upon approval of local incentives.

 

Also, the state Economic Investment Committee today voted to award a Job Development Investment Grant to Novo Nordisk. JDIGs are awarded only to new and expanding businesses and industrial projects who benefits exceed the costs to the state and which would not be undertaken in North Carolina without the grant.

 

Under the terms of the JDIG, the company is eligible to receive a grant equal to 65 percent of the state personal income withholding taxes derived from the creation of new jobs for each of the 10 years in which the company meets annual performance targets. If Novo Nordisk meets the targets called for under the agreement and sustains them for 10 years, the JDIG could yield $840,000 in maximum benefits for the company.

 

In addition, up to $280,000 could be added to the state’s Industrial Development Fund for infrastructure improvements in economically distressed counties. When a JDIG is awarded in the state’s more prosperous counties such as Johnston, 25 percent of the grant is allocated to this fund to encourage economic development in less prosperous areas.

 

Other partners who assisted with this project include: the N.C. Department of Commerce, N.C. Community Colleges, N.C. Joblink Network, N.C. Department of Transportation, Johnston County, Buncombe County, and the Economic Development Coalition for Asheville-Buncombe County.

 

Through Gov. Perdue’s JobsNOW initiative, the state continues to work aggressively to create well-paying jobs, train and retrain its workforce, and lay the foundation for a strong and sustainable economic future.

 

For more information about Novo Nordisk, including job opportunities, visit www.novonordisk-us.com.

 

For more information about Nypro, including job opportunities, visit www.nypro.com.

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