WINCHESTER, Va. – Kitchen and bath cabinetry giant American Woodmark Corp. said it will invest $30 million to build a new headquarters in Winchester, Virginia, consolidating operations currently held in four locations. Completion of the project is expected to be in early 2018 and will add 55 jobs to the area.
"By bringing our employees together at one location, we will further strengthen our interpersonal connections, drive efficiency in our day-to-day interactions and greatly enhance our ability to move our culture towards our vision," said President and CEO Cary Dunston.
American Woodmark worked with the Virginia Economic Development Partnership and Frederick County, and Governor Terry McAuliffe approved a $550,000 grant from the Commonwealth's Opportunity Fund to assist the county with the project. A $350,000 local economic development grant was also approved by Frederick County. Funding and services to support the company’s employee training activities will be provided through the Virginia Jobs Investment Program.
“Ensuring companies like American Woodmark Corporation, that are central to the economic strength of a region, have the resources and support to thrive is a top priority for my administration,” said Governor McAuliffe. “I congratulate American Woodmark on their headquarters consolidation and commend their decision to stay in Frederick County, retaining 377 valuable jobs and adding 55 more. The company’s success is a testament to the skilled labor and strong business climate of the region, and we will continue to invest in advanced manufacturing, as it is central to diversifying and building a new Virginia economy.”
The cabinet manufacturer simultaneously announced the repurchase of up to $50 million of the company's outstanding common shares. The authorization by the board of directors is in addition to the $15 million remaining from a November 2014 authorization and $1.5 million remaining from the November 2015 authorization. Management expects to fund share repurchases using available cash and cash generated from operations.
American Woodmark markets its cabinetry under the American Woodmark, Shenandoah, Timberlake and Waypoint brands. It currently has nine manufacturing facilities and seven service centers located nationwide. Used in new home construction and remodeling, the kitchen cabinets and bathroom vanities are sold on a national basis directly to home centers, major builders and through a network of independent distributors.
Net sales for the first six months of the current fiscal year were $522.2 million. Net sales for the fiscal year ending April 30, 2016, were $947.0 million.
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