LEE COUNTY ECONOMIC DEVELOPMENT CORPORATION Southern Base of the Research Triangle Region NEWS RELEASE FOR IMMEDIATE RELEASE Tuesday, August 7, 2007 CHALLENGE PRINTING CO. PREPARING FOR EXPANSION INTO STATE-OF-THE-ART FACILITY SANFORD -- With its new facility constructed, Challenge Printing Co. is preparing to expand from its current location in Broadway to a state-of-the-art building in the Lee County Industrial Park. The final move, planned for the first or second week in September, will increase the company's available space from 14,000 to 50,000 square feet and add the latest high-tech printing and quality-control equipment. It also will more than double the number of employees working for the pharmaceutical printing company before its expansion began. Challenge Printing specializes in the pharmaceutical industry, working with drug manufacturers throughout the world to produce bottle labels and printed brochures targeted at physicians, pharmacists and patients. It's a highly-technical business that not only involves printing, but finding ways to help clients comply with the large number of regulations issued each year by the U.S. Food and Drug Administration. With its larger staff and new equipment, Challenge Printing plans to move into other areas as well. Director of Marketing Tony Kapsaskis expects the company to begin producing other packaging components, including blister cards and folding cartons, after his staff gets used to its new surroundings. Actually, the expansion project has been underway for several months. Challenge Printing had 30 to 35 employees working in Lee County about one year ago. That number now stands at 65 and will grow again once the move is complete. Even as construction continued, Challenge Printing was recruiting and training employees to work in the new facility. The reason: Plenty of detailed technical training is required to handle the high-tech equipment and maintain an environment that looks more like a pharmaceutical clean room than a print shop. "We're audited on a weekly basis by pharmaceutical businesses, and they have an expectation to see a mirror image of themselves in us, a site that resembles their own manufacturing facilities," Kapsaskis said. "Because of the elongated training process, we couldn't wait until we moved to hire people." Challenge Printing's new facility includes manufacturing space, a quality assurance lab and offices, all in a high-tech environment linked with a T1 data line to headquarters in Clifton, N.J. Using innovative sound-absorbing materials, the company has placed its quality assurance lab and supervisory office right in the middle of the manufacturing floor. Kapsaskis said technicians and managers will meet in a completely quiet setting, even while large equipment runs right outside a wall of windows. Current expansion may not be the final phase. The new facility was constructed with further additions in mind -- land grading and electrical piping has already been done to expand the building to 100,000 square feet -- and that expansion could be done sooner rather than later. "If all goes according to plan," Kapsaskis said, "we would consider expanding again in the next two years." Lee County's workforce is one key reason Challenge Printing has been able to chart such an ambitious course. Since opening its local facility in 1992, Kapsaskis said, the company has developed a loyal workforce highly trained in everything from equipment operation to good manufacturing practices. It's a quality group that Challenge Printing didn't want to risk losing. "Our experience has been very, very positive," he said about the local workforce. "We've found that people here are eager to learn new skills. And because our training is so robust, we've been able to retain the vast majority of those we hired in the beginning years. "We've been very lucky to be located in a place like Lee County, and I think Lee County has a lot to gain, too. The people we employ have the benefit of working with state-of-the-art technology and getting the high level of training we provide." Bob Heuts agrees. As director of the Lee County Economic Development Corp., he appreciates what the company brings to the community. "Obviously, Challenge Printing provides good jobs and participates in civic life in many other ways," he said. "But what people might not see is that, with all of the high-profile clients visiting the company each year, they also help draw attention to our growing community and its vibrant business climate." The Lee County Economic Development Corp. is a nonprofit organization established to attract industry, enhance job opportunities and promote sound planning across Lee County. Funding is provided by the county, as well as the City of Sanford and Town of Broadway, the county's two municipalities. -- 30 -- Media Contacts Bob Heuts, Director Jane Haber, Administrative Assistant 919.774.8439 (phone) 919.775.5410 (fax) info@lcedc.com (e-mail) More On the Web Challenge Printing: http://challengeprintingco.com LCEDC Media Web: http://www.lcedc.com/media/ This release: http://www.lcedc.com/media/releases/nr080707.txt