P&G breaks ground in Box Elder

BOX ELDER COUNTY — A year ago, it was a field of greens. Now it's hailed as a "Field of Dreams."

A former site of many plants was dedicated Friday as the future site of a single huge plant, one that will manufacture Procter & Gamble paper products and initially employ 300 people.

But at groundbreaking ceremonies, company officials repeatedly said more will come to the site at 5000 N. Iowa String Road near Bear River.

The first phase, representing a $300 million investment, will be operating by the second half of 2010, according to Julio Nemeth, manager of P&G's Global Family Care business. "And trust me," he told the crowd, "there are other phases coming."

The 1 million-square-foot plant initially will produce Bounty paper towels and Charmin toilet paper — brands with the top U.S. market share for the past 25 years.

"The growth of these brands will soon exceed our current capacity, particularly west of the Rockies, and thus our decision to build a new manufacturing site versus simply expanding at an existing site," said Mary Lynn Ferguson-McHugh, president of P&G Family Care.

"But this will only be the beginning," she said. "With our track record, we expect to continue to grow for years to come."

R. Keith Harrison, global product supply officer for P&G, suggested Box Elder County's facility could grow like another P&G plant in Mehoopany, Pa. That plant was built in 1966 with 350 employees and projections of perhaps eventually 600. It now has 2,300 workers, a payroll of $180 million and local spending of $1 billion annually.

"That's what I'm dreaming that we'll end up with here, and I'm convinced we will," Harrison said.

Friday's public ceremony and visions for the future were in stark contrast with the company's dealings in feeling out Utah as a potential plant site. Before the company announced last October that Utah was selected, officials for several months shrouded their activities in secrecy, referring to them as "Project Goldrush" and communicating with government and other officials using only their first names.

Although the company received financial incentives from state and local governments, Ferguson-McHugh on Friday said a skilled work force "and the winning culture of Utah" made it a great fit for P&G.

Gov. Jon Huntsman Jr. said the company and government officials "worked without barriers and bureaucracy," "egos were dropped" and activities moved seamlessly to accommodate P&G. He said Utah was thrilled to have the company.

"There isn't a state in America that wouldn't want to be doing what we're doing up here today," he said. "There isn't a state in America that wouldn't be proud to have one the great companies in the world announcing this kind of thing."