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United Plastics Group Expands Operations in China

OAK BROOK, Ill. & SUZHOU, China--(BUSINESS WIRE)--June 14, 2005--Richard Harris, United Plastics Group Inc.'s (UPG) chief operating officer, said today that the company will invest over $10 million (USD) to build a new, full-service custom manufacturing facility in the Suzhou Industrial Park in Suzhou, China.

The new facility will be located in the "Free Trade Zone" of the industrial park. UPG Suzhou (EPZ) will encompass over 100,000 square feet of space, housing a broad range of injection molding machines. In addition, the new manufacturing location will include space dedicated to value-added assembly and mold maintenance.

"We chose the Free Trade Zone of the Suzhou Industrial Park as it is a specially designated zone for international trade operations. This is excellent news for our global customers, as goods imported from outside of China, along with exported products are exempt from value-added taxes and duties," said Harris. "As we continue to pursue our mission of being a low cost provider, the Free Trade Zone allows UPG to provide our global customers the tax advantages of the Trade Zone while continuing to service the growing domestic market from our current Suzhou facility."

The new plant will be UPG's third investment in the Suzhou Industrial Park over the last three years. As with the first two facilities, the third plant will also be incorporated as a Wholly Owned Foreign Enterprise (WOFE).

"UPG Suzhou (EPZ) is the next step in our strategic plan to expand UPG's footprint in Asia," said Tom Opielowski, vice-president operations of UPG Asia. "We have included a broad range of technical and engineering capabilities such as two-shot molding, a class 100,000 clean-room as well as our best in class project engineering capabilities, all meeting ISO 9002 and TS 16949 quality specifications."

The grand opening of the new facility is planned for the fourth quarter of this year.

About United Plastics Group, Inc.

United Plastics Group, Inc., headquartered in Oak Brook, IL, is a full service manufacturer of precision plastics products and value-added services for the industrial, automotive, medical, electronics and consumer markets. UPG operates state-of-the-art facilities in the United States, Mexico, Europe and China. United Plastics Group, Inc. is a portfolio company of Aurora Capital Group, a Los Angeles based private investment firm.

The Suzhou Industrial Park represents the largest cooperative project between the governments of China and Singapore and encompasses IT, international technology, life science, national software and SME parks. Suzhou Industrial Park is located eighty kilometers from Shanghai on Lake Jinji (Golden Rooster) in the eastern suburb of the Suzhou city.

United Plastics Group, Inc.
Tena Miles, 630-706-5524
[email protected]
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