March 14, 1998

Lila White
(804) 692-3110

Jill Lawrence
(804) 371-0049
Governor Gilmore Announces Lumberg, Inc. Expansion in Chesterfield County
-- 100 Projected Jobs at New U.S. Headquarters - -

Richmond - Virginia Governor Jim Gilmore today announced the decision by German-based Lumberg, Inc., to expand its operation in Chesterfield County. Approximately 100 jobs will be created at the new U.S. corporate headquarters facility over the next two years with a $2.5 million investment.

"This decision by Lumberg, Inc. proves that Virginia is a great place to grow a business," said Governor Gilmore. "Our dedicated workforce and pro-business climate have persuaded this respected European manufacturer to re-invest in the Commonwealth. I am certain Lumberg will continue to prosper in Virginia."

Lumberg, Inc. is the U.S. sales/distribution center for the 60 year-old Karl Lumberg Gmbh & Co. based in SchalksmŸhle, Germany. The company manufactures electrical and electronic component connectors for a variety of products such as mobile phones, medical laboratory equipment, welding robots and HDTV sets. The company supplies such major international companies as Siemens, Allen Bradley, Thompson-RCA and all of the major automotive companies. In addition to its Virginia location, the company has operations throughout Europe and in Singapore. The new Chesterfield County facility will serve as the company's United States headquarters, and will include a warehouse, as well as engineering and light manufacturing operations.

"The good climate, strong workforce and central location of Chesterfield County has been instrumental in Lumberg, Inc.'s growth over the past 12 years," said Elmar Berghaus, Chairman of Lumberg Worldwide.

The Virginia Economic Development Partnership, the Greater Richmond Partnership and the Chesterfield County Department of Economic Development assisted Lumberg with its decision. The Virginia Department of Business Assistance will provide workforce training services.

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