October 14, 1998

Lila White
(804) 692-3110

Cathy Pernu
Kraft Foods
(847) 646-3946
Jill Lawrence
(804) 371-0049
Governor Gilmore Announces Kraft Foods Expansion in Winchester
-200 new jobs created in the Winchester area-

Richmond - Virginia Governor Jim Gilmore today announced that Kraft Foods, Inc. will expand its Winchester facility and create at least 200 new jobs by the end of 1999. The expansion will enable Kraft to add OSCAR MAYER® LUNCHABLES® Lunch Combinations to its products. Manufacturing capacity will also increase for one of the plant's current products, CAPRI SUN ALL NATURAL® juice drinks.

"Food processing is a thriving industry in Virginia that includes respected companies such as Frito-Lay, Hershey, Maple Leaf and Coors," said Governor Gilmore. "Kraft Foods' decision to expand its Winchester plant is a true testament to Virginia's positive business climate."

Kraft Foods, with headquarters in Northfield, Illinois, is the North American food business of Philip Morris Companies Inc. Kraft's Oscar Mayer Foods Division created the lunch combinations category with the introduction of OSCAR MAYER LUNCHABLES in 1988. In 1996, the company sold its billionth package of LUNCHABLES. The Winchester plant also manufactures KOOL-AID BURSTS® soft drinks and has 250 employees.

"We're pleased that Winchester was chosen as the site for this expansion," said Kraft Plant Manager Gary Gerasimowicz. "This demonstrates the company's confidence in our plant as a competitive facility and the Commonwealth of Virginia as the right place to build these businesses."

"This expansion by Kraft is another example of the Commonwealth's commitment to existing business," said Secretary of Commerce and Trade Barry E. DuVal. "Kraft's continued expansion in Winchester will pay great dividends to Virginia's future economic growth."

Governor Gilmore approved a grant from the Governor's Opportunity Fund in the amount of $250,000 to assist the City of Winchester with site preparation. The Virginia Economic Development Partnership, Frederick County and the Winchester-Frederick County Economic Development Commission assisted Kraft with its decision. The Virginia Department of Business Assistance will provide workforce training services.

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