FOR IMMEDIATE RELEASE
April 26, 2006

Kevin Hall
www.governor.virginia.gov
(804) 225-4260


Calvin Butler
RR Donnelley
312-326-8712
Christie Miller
VEDP
(804) 545-5805
GOVERNOR KAINE ANNOUNCES RR DONNELLEY EXPANSION AT THREE VIRGINIA PLANTS
-Company to invest $85 million, create 139 new jobs-


LYNCHBURG - Governor Timothy M. Kaine today announced that RR Donnelley, a provider of print and related services, will invest $85 million to expand manufacturing operations at its three Virginia plants, creating a combined 139 new jobs within 30 months. The company will invest $38 million in Roanoke County; $29 million in the City of Lynchburg; and $17 million in Rockingham County. Virginia successfully competed against several other states for the project.

“RR Donnelley has had a presence here since opening its first Virginia plant in Rockingham County more than a decade ago,” said Governor Kaine. “The company is a valued employer in the state, and this significant expansion will not only benefit the three communities, but the Commonwealth as a whole.”

Headquartered in Chicago, RR Donnelley (NYSE: RRD) is a full-service provider of print and related services, including document-based business process outsourcing. Founded more than 140 years ago, the company provides commercial printing, direct mail, financial printing, print fulfillment, forms and labels, logistics, call centers, transactional print-and-mail, print management, online services, digital photography, color services, and content and database management to customers in the publishing, healthcare, advertising, retail, technology, financial services, and many other industries.

“We are very pleased to increase the flexibility of our production platform with these enhancements to our Virginia facilities,” said John Paloian, President, RR Donnelley’ Publishing & Retail Services Group. “Our customers value our Virginia facilities’ central location, exceptional workforce, and proximity to their distribution centers.”

The Virginia Economic Development Partnership worked with Roanoke County, the City of Lynchburg and Rockingham County to secure the project for Virginia. Governor Kaine approved a $1 million grant from the Governor’s Opportunity Fund to assist the three localities with the project. The Virginia Department of Business Assistance will also support the project with training and retraining assistance through its Workforce Services Jobs Investment Program.

“Over our 10-year relationship with RR Donnelley, the company has invested over $100,000,000 to create one of the most technologically advanced book printing facilities in the world. Their current plans to further invest and hire employees in Roanoke County will continue to raise the skill sets of our labor force and build upon the dynamic partnership that Roanoke County is immensely proud to be part of,” said Elmer C. Hodge, Jr., Administrator, County of Roanoke.

“Lynchburg is extremely pleased to be a part of this announcement,” stated City of Lynchburg Mayor Carl B. Hutcherson, Jr. “We congratulate Roanoke County and Rockingham County, and thank them for their partnership in this endeavor. RR Donnelley is one of the leaders in our business community, and has been an important part of the Lynchburg economy since its beginning in 1970 as Meredith-Burda.”

“Rockingham County is fortunate to have the RR Donnelley Company as a corporate citizen and we are extremely pleased with the expansion planned for the County,” said Rockingham County Board Chair Michael A. Breeden. “The Company’s expansion will provide economic growth which will benefit the community and continue to provide meaningful employment opportunities for our citizens.”

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