FOR IMMEDIATE RELEASE
December 11, 2002

Ellen Qualls
www.governor.state.va.us
(804) 786-2211, x2379


Jill Lawrence
VEDP
(804) 371-0049
SYSCO Breaks Ground In Warren County
-Governor Warner welcomes company’s $53 million investment in the Commonwealth-


RICHMOND - Governor Mark R. Warner today welcomed the SYSCO Corporation to Warren County. In July 2002, SYSCO announced plans to locate its first U.S. redistribution facility in Warren County, creating 388 jobs through a $53 million investment. Virginia successfully competed with Maryland, Pennsylvania, West Virginia and New Jersey for the project. This morning, Warren County officials held a groundbreaking ceremony.

“This is a significant investment to the Commonwealth,” said Governor Warner. “Although I could not attend this morning’s event, I look forward to visiting the company’s new Warren County facility.”

SYSCO (NYSE: SYY) is the largest food service marketing and distribution organization in North America. Generating sales of approximately $22.6 billion for calendar year 2001, the company provides products and services to approximately 400,000 customers, including restaurants, healthcare and educational facilities, lodging establishments and other food service operations. The SYSCO distribution network, supported by more than 46,000 employees, currently extends throughout the entire United States and Canada. For more information about SYSCO, visit www.sysco.com.

SYSCO plans to build an approximate 800,000 square-foot foodservice redistribution center. The site is located in the industrial corridor north of Interstate Highway 66 in Front Royal, Virginia. The Virginia redistribution warehouse will receive and redistribute food and food-related products to 14 SYSCO distribution centers in Connecticut, Maine, Maryland, Massachusetts, New York, Pennsylvania and Virginia for subsequent redistribution to restaurants and other foodservice locations. The Front Royal warehouse initially will include freezer, refrigeration and dry storage space, as well as cold docks and rail dock areas and will have future expansion capability of up to 1,200,000 square feet.

The facility is the first of several in a long-term project that eventually will encompass similar warehouses in SYSCO’s six regions throughout North America. SYSCO expects to increase transportation savings and improve storage and handling methods through the use of redistribution warehouses, which allow for more efficient supply chain delivery than current distribution methods to each of the various facilities.

Governor Warner approved a $200,000 grant from the Governor’s Opportunity Fund to assist Warren County with the project. The company qualifies for rail access funding from the Virginia Department of Rail and Public Transportation and road access funding from the Virginia Department of Transportation. SYSCO will also take advantage of Enterprise Zone tax credits administered by the Virginia Department of Housing and Community Development. The Virginia Economic Development Partnership, the Virginia Port Authority and the Front Royal-Warren County Economic Development Authority assisted SYSCO with its decision. The Virginia Department of Business Assistance will provide workforce training services.

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