7/22/03

Rural King Announces $3 Million Expansion During Governor's Visit

BY DAWN SCHABBING, Staff Writer

MATTOON -- Gov. Rod Blagojevich announced Tuesday the help of tax credits initiated through a state program enables Rural King to start its $3 million expansion of its warehouse and distribution facility.

Through the Economic Development for a Growing Economy program (EDGE), and for workforce training grants through the Industrial Training Program, the growing company with stores in four states is planning to expand.

"We are involved in our most ambitious and sweeping expansion initiative in our 43-year history," said Glen Howell, spokesman for Rural King. "Due to our growth we are able to take advantage of state initiatives (EDGE) and programs. This was based on our commitment to create new jobs and make a capital investment in Mattoon."

Blagojevich said the new Department of Commerce and Economic Opportunity is helping to bring new approaches to sparking economic growth. The DCEO will provide nearly $17,000 annually in tax credits for the next 10 years.

This opportunity will help Rural King bring new jobs and assist in job training.

Rural King has 24 stores in Illinois, Indiana, Kentucky and Tennessee. The expansion will allow it to distribute to 10 additional stores, allowing more economic opportunities. It has livestock feed, clothing, toys and more.

About 100 people gathered at the Mattoon Rural King store Tuesday evening when Blagojevich made the announcement on one of his stops on the 14-county "bus tour" that included Coles, Shelby, Moultrie and Cumberland counties.

"There is a tremendous entrepreneurial spirit in Coles County and a lot of hard-working people who want the future to be better than the past," said Bill Rowland, president of Coles Together. "We are in need of economic development support from the state government and are pleased to have Gov. Blagojevich to talk with us."

State Rep. Chapin Rose and State Sen. Dale Righter along with city, county and Rural King officials were on hand to hear the governor announce the plans for the expansion. Blagojevich was joined by his wife, Patti, and daughters, Amy and Annie.

"Due to massive growth, especially over the past few years, we have pushed our distribution center to its maximum capacity," said Howell. "We now are to undertake an expansion of more than 100,000-square-feet."

The expansion includes several more bay docks, receiving doors, state-of-the art equipment, installing numerous software applications, upgrading hardware, plus the creation of about 30 full-time jobs.

"I want to congratulate the people at Rural King on the company's continued growth," said Blagojevich. "We appreciate the additional commitment they are making to our state and community."

Mayor Dave Carter said the city is "thrilled" with the expansion of Rural King and creation of new jobs.

Jeanne Gustafson of Coles Together said Rural King has been one of the county's most impressive business professionals. "They've done an excellent job in helping with the local development and they are a pleasure to work with," said Gustafson. "They love their community, and they are always giving back to the community."

Blagojevich said as governor he hopes to bring belief in state government back to the people of Illinois. "We are doing our best by setting the right kinds of priorities that reflect the real needs of the communities and the people," he said.

Pat Black, Coles County Board member from Charleston said, Blagojevich's talk left her feeling optimistic. "I'm real optimistic under his leadership we can come out of this fiscal crisis," said Black.

Bill Harrington of Humboldt said he liked the fact Blagojevich projected a positive attitude about overcoming the state's financial woes.

Contact Dawn Schabbing at dschabbing@jg-tc.com or 238-6869.