GICHNER NEWS

August 28, 2006

PENNSYLVANIA GOVERNOR RENDELL ANNOUNCES GICHNER'S EXPANSION OF MANUFACTURING OPERATIONS.

Dallastown, Pennsylvania – August 28th 2006 - Gichner Shelter Systems, a division of Gichner Systems Group LLC, and a world leader in the design, development and production of tactical and logistic shelters and shelter systems, is pleased to announce that it has been awarded a $331,000 grant for the expansion of its manufacturing operations.

The following text is the official press release from the Pennsylvania Governor's office:

HARRISBURG — Governor Edward G. Rendell today announced that Gichner Shelter Systems, a world leader in the design and manufacture of tactical shelters, containers and subsystems for the U.S. Armed Forces, is expanding its Dallastown manufacturing operations and will create at least 131 jobs within the next three years and retain 288 others in York County.

“Today’s news that Gichner has chosen to expand here in Pennsylvania and create these new jobs is great news,” said Governor Rendell. “All across the state, we’re targeting our resources to create new opportunities for people and communities and support the growth and success of our companies. By leveraging the state’s resources, we’re attracting private sector investments that are helping to turn our economy around.

“Gichner is not only investing more than $5 million in its expansion project, it is also creating good jobs that pay well. Projects just like this have contributed to the growth of our economy. Pennsylvania’s job count hit a new record high of 5,757,900 in July.

“Clearly, companies like Gichner realize Pennsylvania is a great place to expand and grow,” Governor Rendell added. “By continuing to invest in economic development projects like this one, we’re helping to create new opportunities for Pennsylvania’s skilled and hardworking citizens.”

"All of Gichner’s employees are extremely proud that the tactical military shelters designed and manufactured by our company are being used by the men and women of our U.S. Armed Forces in Iraq, Afghanistan and other trouble spots around the world,” said Thomas E. Mills IV, president and chief executive officer of Gichner Shelter Systems. “Gichner has plans to expand our capabilities and product offerings for lighter and smaller shelters that will allow our troops to be better protected with more armor on their vehicles.

“In addition, Gichner has expansion plans to move our capabilities into certain commercial products,” Mills added. “These plans require us to buy new equipment and re-tool our two plants in Dallastown. This financial package will not only help Gichner fulfill its vision and new product offerings, it will also help add at least 131 jobs to our facilities in Dallastown.”

The York County Economic Development Corp. worked with the Governor’s Action Team to help the company secure a $331,000 financial package offer from the Department of Community and Economic Development. Gichner Shelter Systems plans to expand its operations by offering new products and services and seeking new market opportunities. To do this, the company will add production equipment and upgrade its existing equipment. 

The company is also eligible to apply for a loan of more than $3.8 million through the Citizens Job Bank program, which offers low-interest-rate loans to companies that commit to creating or expanding jobs in Pennsylvania.

 The Governor’s Action Team serves as a single point of contact for businesses that are interested in locating or expanding in Pennsylvania, and reports directly to Governor Rendell. Since January 2003, the Governor’s Action Team has successfully completed 691 projects statewide resulting in commitments for the creation of 71,256 new jobs and the retention of 182,040 existing positions. The commonwealth has offered $1.2 billion in assistance for these projects, which will leverage more than $7.8 billion in additional investment.

 Gichner Shelter Systems designs, manufactures and integrates tactical and logistic shelters and related products for military and commercial applications. Its shelters, assembled from lightweight bonded panels fabricated using both foam and beam and honeycomb core construction are used worldwide. In addition to its extensive line of standard shelters, Gichner provides turn-key systems that are “rack ready” for the installation of its customers’ electronic systems. The company has more than 35 years of engineering expertise in the application of proven solutions and the development of custom solutions to systems mobility and environmental protection of electronic systems.

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  Gichner’s mission is to be acknowledged as the leading turn-key supplier of systems designed, packaged and integrated for rapid mobility.

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