By Matthew Spieler
DALTON—At a time when companies across the country are closing facilities and shrinking their operations, along comes IVC Group which announced plans to invest $70 million to construct a state-of-the-art vinyl manufacturing plant in the heart of the world’s carpet capital and create an additional 115 jobs for the local community.

“Why on earth invest $70 million in the middle of a crisis— which is a big crisis?” asked Filip Balcaen, IVC’s chairman. “Bottom line, by doing the investment now, IVC US will be ready with local manufacturing capability to provide product for the U.S. and made in the U.S. when the economy starts to rise. True entrepreneurs with a vision take the chance and invest in down times when most of the market does not.”

Jan Vergote, IVC Group’s CEO, added, “The current success of our product and service model in the U.S. is a solid basis for future growth which warrants this capital investment.”

The 520,000-sq.-ft. facility is expected to be in full operation by January 2011 with a workforce of at least 150—115 more than IVC currently employs in the U.S.— and an annual capacity of approximately 325 million square feet.

Sitting on 44 acres of land, Xavier Steyaert, CEO of IVC US, said the site offers the mill the ability to expand. “We reviewed proposals and looked at sites in many areas of the country,” noting the announcement culminates months of research and travel by company officials as well as extensive consultation and discussions with local, county and state officials throughout the U.S.

One of the main factors for choosing Dalton he noted is that IVC is no stranger to the community. Since 2002 the city has been home to the company’s U.S. headquarters. The vinyl manufacturer operates out of a 220,000-sq-ft. distribution center that employs 35 people (it has a second warehouse to service the West Coast in Rancho Cucamonga, Calif.), along with a number of salespeople in various states.

“Ultimately, we’ve established strong roots here in the state of Georgia. So many positive factors combined to end our journey where it began—back home in Dalton.” Balcaen added, “This is a key strategic decision for us. It is a clear signal of our long-term commitment to the U.S. market and our desire for continued industry leadership,” noting IVC’s introduction of fiberglass backing technology to the American market “revolutionized the sheet vinyl [category] and will be a key impetus to continued category growth. We have some very ambitious goals for the coming years.”

Made in the U.S.A.

The U.S. division, which currently works with local designers and the product development team at the parent company’s headquarters in Belgium to design products specifically for the North American market, will become more than self sufficient once the new plant is running at full capacity, Steyaert added. “The Dalton facility will be able to produce all product needs for both North and South America.”

In addition, when the plant opens, he said IVC US will begin its own product development and “we will be able to offer many more designs to meet the needs of our customers in this part of the world.”

Balcaen noted IVC US will also be in a better position “to quickly respond to new flooring trends.” Because of the custom-made machinery and equipment the company will be installing in the new factory, “the design possibilities are endless.”

Along with incorporating the latest technological advances Steyaert said the plant will have the longest vinyl line in the world. “The advantages are not so much length as they are efficiency and design/finishing possibilities and options. IVC quality is always of the highest standard and innovative design, and that will not change.”

Stefaan Debusschere, vice president of marketing and sales pointed out “manufacturing locally will offer tremendous advantages for our network of distributors and retailers. This investment will give our customers the availability of special request designs, shorter times to market and larger selection of products, widths and finishes.”

Perfect fit

Georgia governor Sonny Perdue, called the pairing of the carpet capital of the world with a vinyl manufacturer “the perfect match,” and noting the development “says a [great deal] about the confidence IVC has in American workers… that it can get the job done and we can compete globally in the vinyl floor covering business and it is going to do it right here [in Dalton].”

Mike Babb, chairman of the Whitfield County Board of Commissioners, added having IVC build the factory here is an important development for the area because since December 2007 about 6,000 jobs have been lost and he does not expect many to return.

IVC is not the only Belgian-based company to call Georgia home. The Web site georgiafacts.net lists 46 operations from that country and notes it is one of 52 countries that have at least one company represented in the state.

—Matthew Spieler