October 11, 2000

Lila White
(804) 692-3110

Lynne Seeley
HP Hood, Inc.
(617) 887-8321
Jill Lawrence
(804) 371-0049
Governor Gilmore Attends HP Hood's Grand Opening in Frederick County
-150 jobs created by dairy manufacturer by year's end; $30 million added to original investment-

Frederick, County - Governor Jim Gilmore today announced that HP Hood has officially opened its beverage processing facility in Frederick County. HP Hood, the Northeast's largest independent dairy manufacturer, is expected to build its staff of approximately 150 employees this year, while also investing $100 million in the facility as phase two of the project is currently underway. This additional investment surpasses HP Hood's March 1999 announcement of $70 million.

"We are very pleased to see continued growth of the food processing industry here in Virginia," Governor Gilmore said. "HP Hood's facility is the largest of its kind in the Commonwealth, and it is great news that they have moved into phase two so quickly."

The new Hood facility manufactures extended shelf-life beverages using state-of-the-art ultra high temperature manufacturing with current and emerging packaging technologies. HP Hood's decision to build a new facility was the result of continued growth of the Company's extended shelf-life beverage business and the need to meet changing consumer needs. The new plant will support the Hood brand for distribution and sale throughout the Northeast as well as those products that Hood produces for national brand partners, such as Nestle, Lactaid and Land O' Lakes.

Founded in 1846 by Harvey Perley Hood, HP Hood Inc. is the Northeast's premier processor, marketer, and distributor of dairy, extended-shelf-life dairy, frozen desserts, citrus, non-dairy and specialty food products. The company is headquartered in Chelsea, Massachusetts.

"HP Hood President, Chairman and CEO John A. Kaneb said, "We are grateful to Governor Gilmore, the Virginia Economic Development Partnership, Frederick County and the Winchester-Frederick County Economic Development Commission as they have made all the difference to our Company in electing to build our plant in Winchester, Virginia. We have been overwhelmed by the welcome we have received."

"We applaud HP Hood's decision to locate in Virginia," said Secretary of Commerce and Trade Barry E. DuVal. "HP Hood is a welcome addition to the business base in Frederick County."

In making its selection, HP Hood worked closely with the Virginia Economic Development Partnership, Frederick County and the Winchester-Frederick County Economic Development Commission. The Virginia Department of Business Assistance is providing workforce-training services to the company.


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