Balchem Corp. To Locate In Alleghany County To Invest $10 Million, Offer 55 New Jobs   COVINGTON, Va. (April 30, 2012) - A publicly traded company that manufactures ingredients used in food, pharmaceuticals and animal nutrition announced plans today to establish an operation in Alleghany County, investing approximately $10 million and creating 55 new jobs within two to three years. 
Balchem Corp. (NASDAQ: BCPC), based in New Hampton, N.Y., will manufacture encapsulated ingredients for global applications used in animal nutrition and health products. The company plans to acquire a vacant, 68,000-square-foot building currently owned by the county, located in the Alleghany Regional Commerce Center. Speaking about today’s announcement, Virginia Gov. Bob McDonnell said, “Alleghany County is the ideal location for Balchem Corporation’s first Virginia operation. The strategic location with direct access to Interstates 64 and 81 allows the company to easily serve its customer base in the Northeast and Midwest. In addition, the region offers a business-friendly and available labor force. Balchem will provide 55 new jobs over the next two to three years and help contribute to the diversification of Alleghany's manufacturing sector, and we thank the company for this significant investment in the Commonwealth.” Balchem has three business segments: ARC Specialty Products; food, pharmaceutical and nutrition; and animal nutrition and health. Through ARC Specialty Products, Balchem provides specialty-packaged chemicals for use in healthcare and other industries. The food, pharma and nutrition segment provides proprietary microencapsulation, granulation and agglomeration solutions to a variety of applications in the human food, pharmaceutical and nutrition marketplaces. The animal nutrition and health segment manufactures and supplies products to numerous animal health markets and certain derivative products into industrial applications. Balchem is on the Forbes list of the 100 best small companies in America. “Today is a great day in Alleghany County,” said Stephen A. Bennett, Chairman of the Alleghany County Board of Supervisors. “Balchem is a growing, successful company that is making an investment in our community, diversifying our manufacturing base, and creating excellent jobs for our citizens.  It’s exactly the kind of company that makes Alleghany County an even better story to tell.” “Balchem is a world-wide leader in nutrition and health products,” added Mark R. George, Chairman of the Alleghany Highlands Economic Development Corporation and Vice President, Strategic Initiatives for MeadWestvaco. “The company recognizes that the Alleghany Highlands provides the workforce and business environment that will contribute to their continued success.” “Alleghany County was successful in locating Balchem because the region has the right workforce, business climate, and infrastructure for this company’s needs,” said Beth Doughty, executive director of the Roanoke Regional Partnership. “The state, regional and local economic development organizations were excellent to work with, providing us with timely information about the benefits of Virginia and Alleghany County,” said John Kuehner, Balchem’s Vice President of Operations. “We evaluated raw material supply, customer locations, trade infrastructure support, and overall costs of doing business. These factors, combined with a significant incentive package, led us to this decision.” According to Dr. Dana Putnam, Vice President and General Manager, Balchem Animal Nutrition and Health, “This investment will provide Balchem with world-class manufacturing capabilities that allow us to match the rapidly growing demands for our products and technology in the animal nutrition and health industry. From this, we can continue to advance solutions that aid in gains in animal productivity and health while reducing the environmental impact of contemporary feeding programs.” The Virginia Economic Development Partnership, Alleghany County, the Alleghany Highlands Economic Development Corporation and the Roanoke Regional Partnership worked together to secure the project. McDonnell approved a $150,000 grant from the Governor’s Opportunity Fund to assist Alleghany County with the project. The company is eligible to receive benefits from the Virginia Enterprise Zone Program, administered by the Virginia Department of Housing and Community Development. Through its Virginia Jobs Investment Program, the Virginia Department of Business Assistance will provide funding and services to support the Company’s recruitment and training activities. Balchem projects making $10 million in capital investments within the first three years to purchase machinery and equipment, acquire the building and make building improvements. Of the 55 new jobs, 20 will come in the first year with the balance coming over the next 2-3 years. “Every new job in the Alleghany Highlands is a good job.... not only does this new industry help to provide diversification of the local economy but it shows that the Alleghany Highlands has what it takes to attract a biotech company as well as a company of the quality of the Balchem Corporation which is listed by Forbes magazine as 1 of the top 100 small companies in America," said David Kleppinger, Executive Director of the Alleghany Highlands Economic Development Corporation. The firm will operate from 200 Commerce Center Drive, Covington, VA. * * * * * Here's the full text of Gov. Bob McDonnell's press release: Governor Bob McDonnell announced today (April 30) that Balchem Corporation (NASDAQ: BCPC) will make an initial investment of approximately $10 million to establish an operation in Alleghany County. The company will manufacture encapsulated ingredients for global applications in animal nutrition and health products, creating 55 new jobs over the next 2-3 years. Speaking about today’s announcement, Governor McDonnell said, “Alleghany County proved to be an ideal location for Balchem Corporation’s first Virginia operation. The strategic location with direct access to Interstates 64 and 81 allows the company to easily serve its domestic customer base in the Northeast and Midwest, and serves as close port proximity for its growing international markets. In addition, the region offers an incredibly talented and ready labor force. Balchem will eventually provide a total of 55 new jobs and help contribute to the diversification of Alleghany's manufacturing sector, and we thank the company for this significant investment in the Commonwealth.” “Balchem Corporation’s new manufacturing operation is welcome news for an area that is continuing to rebound economically,” said Jim Cheng, Virginia Secretary of Commerce and Trade. “Virginia’s business cost advantages put us ahead of the competition, and Alleghany County offered the infrastructure and workforce to meet the company’s needs.” Headquartered in New Hampton, New York, Balchem Corporation consists of three business segments: ARC Specialty Products; Food, Pharma and Nutrition; and Animal Nutrition and Health. Through ARC Specialty Products, Balchem provides specialty-packaged chemicals for use in healthcare and other industries. The Food, Pharma and Nutrition segment provides proprietary microencapsulation, granulation and agglomeration solutions to a variety of applications in the human food, pharmaceutical and nutrition marketplaces. The Animal Nutrition and Health segment manufactures and supplies products to numerous animal health markets and certain derivative products into industrial applications. “The state, regional and local economic development organizations were excellent to work with, providing us with timely information about the benefits of Virginia and Alleghany County,” said John Kuehner, Vice President of Operations, Balchem Corporation. “We evaluated raw material supply, customer locations, trade infrastructure support, and overall costs of doing business. These factors, combined with a significant incentive package, led us to this decision.” According to Dr. Dana Putnam, Vice President and General Manager, Balchem Animal Nutrition and Health, “This investment will provide Balchem with world-class manufacturing capabilities that allow us to match the rapidly growing demands for our products and technology in the Animal Nutrition and Health industry. From this, we can continue to advance solutions that aid in gains in animal productivity and health while reducing the environmental impact of contemporary feeding programs.” The Virginia Economic Development Partnership worked with Alleghany County, the Alleghany Highlands Economic Development Corporation and the Roanoke Regional Partnership to secure the project for Virginia. Governor McDonnell approved a $150,000 grant from the Governor’s Opportunity Fund to assist Alleghany County with the project. The company is eligible to receive benefits from the Virginia Enterprise Zone Program, administered by the Virginia Department of Housing and Community Development. Through its Virginia Jobs Investment Program, the Virginia Department of Business Assistance will provide funding and services to support the Company’s recruitment and training activities. “Today is a great day in Alleghany County,” said Stephen A. Bennett, Chairman of the Alleghany County Board of Supervisors. “Balchem is a growing, successful company that is making an investment in our community, diversifying our manufacturing base, and creating excellent jobs for our citizens. It’s exactly the kind of company that makes Alleghany County an even better story to tell.”

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