Rendell Announces State Investments to Help Re-Open Former Rolling Rock Brewery

LATROBE –  Gov. Edward G. Rendell delivered on his pledge to help reopen the former Rolling Rock brewery by announcing a state investment that will put the facility back in operation and bring back many of its displaced employees.

“When Rolling Rock left town, Latrobe lost one of its most historic icons. But more importantly, it lost a significant portion of its tax base and a large employer,” said Rendell. “We immediately went into action, seeking a buyer that would invest in the community and retain the skilled workers that built one of the beer industry’s premier brands.

“City Brewing recognized this opportunity and answered that call. After finalizing the purchase of the plant, I pledged to do whatever it took to get this operation up and running as soon as possible. Today, we’re delivering on that pledge and making an investment that will put at least 250 people back to work by June 1.”

Standing on the floor of the brewery, Governor Rendell announced a package of grants and loans exceeding $4.5 million that will help City Brewing Company LLC upgrade the facility to meet the production needs of its product line, which includes beer, iced teas and energy drinks.

The Governor added that the state’s investment will be leveraged to attract a $10.4 million investment from the company — an approach that has revitalized Pennsylvania’s economy over the last four years.

“In towns and cities across the commonwealth, we’re using our resources to attract billions of dollars in private investment from companies expanding here, or those from outside Pennsylvania that decide to re-locate here because of our competitive business environment. This approach has helped turn our economy around, and helped create record job counts and elevate the quality of life for our residents,” said the Governor.

The Economic Growth Connection of Westmoreland County worked with City Brewing and the Governor’s Action team to obtain a $4,540,250 funding offer
from the Department of Community and Economic Development that includes grants of up to $2,890,250 through the Infrastructure and Facilities Improvement Program, a $500,000 opportunity grant, a $400,000 loan through the Pennsylvania Industrial Development Authority, $250,000
in Customized Job Training funds and $500,000 in job creation tax
credits.

“The reopening of the Latrobe Brewing facility by City Brewing is not just good news for the City of Latrobe, but Westmoreland County in general,” said John Skiavo, president and CEO of the Economic Growth Connection. “The Governor’s personal involvement in putting the project together and the Governor’s Action Team working with our local organization made the successful reopening of a closed plant and jobs for our community possible.”

“City Brewing Company is very appreciative of all the assistance and support received from Governor Rendell and the Governor’s Action Team, as well as all the assistance of the local officials and the entire community,” said City Brewing Company COO Kenn Yartz. “We value the hard work everyone has put forth in helping City Brewing Company put this historic brewery back in production. It is our belief that we will bring a new era of beer and beverage co-packing production to Latrobe and Western Pennsylvania.”

City Brewing Company acquired the assets of InBev’s Latrobe brewery in 2006 after Rolling Rock’s production was relocated to New Jersey by Anheuser- Busch, which purchased the rights to the brand for $82 million. With an annual capacity of 70 million cases, City Brewing Company operates as the premier contract packager of beer and flavored malt beverages in the U.S. The company also packages non-alcoholic beverages including teas, energy drinks, juices and carbonated soft drinks. For more information on City Brewing, visit www.citybrewery.com.

State support for this project was coordinated by the Governor’s Action Team, economic development professionals who serve as a single point-of- contact for businesses considering locating or expanding in Pennsylvania. The team works with domestic and international businesses consultants on projects that offer significant investment and job creation opportunities.

Since 2003, 774 GAT projects have been completed statewide resulting in commitments for the creation of 81,486 new jobs and the retention of more than 201,581 existing positions. The commonwealth has offered more than $1.4 billion in assistance for these projects, which will leverage more than $8.9 billion in additional investment.

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