Montreal, Canada based Kruger Packaging has announced it will open a 400,000-square-foot box manufacturing facility in Elizabethtown, Kentucky. The project will be Kruger’s first corrugated box plant in the U.S. and is expected to create at least 147 jobs in coming years, according to a media report.

“Kruger Packaging will be a strong employer in central Kentucky for years to come and I look forward to watching the company grow and help build a better future for Kentuckians,” said Kentucky Gov. Andy Beshear.

Founded in 1904, Kruger Packaging’s parent company, Kruger Inc., produces everything from premium papers, publication and specialty papers, to 100 percent recycled containerboard products, cellulosic biomaterials and even a line of wines and spirits. The company is also a major North American recycler of paper and paperboard. Kruger operates 19 facilities across 10 sectors in Canada and the U.S., including locations in Maine, New York, North Carolina, Rhode Island, Tennessee and Virginia.

“Kentucky’s pro-business climate was instrumental in our decision to invest in Hardin County, and we are grateful for the support we received from Gov. Beshear, Team Kentucky and Elizabethtown-Hardin County to make the announcement a reality,” said Michael Lafave, Senior Vice President and Chief Operating Officer of Kruger Packaging.

To encourage investment and job growth, the Kentucky Economic Development Finance Authority preliminarily approved a 10-year incentive agreement Thursday with the company under the Kentucky Business Investment program. The performance-based deal can provide up to $3.45 million in tax incentives based on the company’s investment of $114.2 million and annual targets of 147 Kentucky-resident, full-time jobs across 10 years with an average hourly wage of $32.50, which reflects both benefits and pay.

Additionally, the finance authority approved Kruger Packaging for up to $1.58 million in tax incentives through the Kentucky Enterprise Initiative Act, which allows approved companies to recoup Kentucky sales and use tax on construction costs, building fixtures, equipment used in research and development and electronic processing.

In addition, the state said the company can tap resources of the Kentucky Skills Network which provides no-cost recruitment and job placement services, reduced-cost customized training and job training incentives.

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