Universal Leaf's Plans for New Tobacco Processing Plant

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Industrial Information Resources, Incorporated (IIR) reported that Universal Leaf North America (Richmond Va.), a division of Universal Leaf Tobacco Company, Inc., plans to construct a new state-of-the-art tobacco processing plant in Nash County, N.C. Final site selection and approval will be made in August 2001 to build the new $100 million, one million square foot tobacco stemming & processing plant capable of producing 100,000 lbs/hr of tobacco.

Construction is scheduled to begin late this summer on the technologically advanced plant, which will be fully operational by July 2003 and will employ over 1,000 full time and seasonal personnel. This project is the first new tobacco plant to be constructed in the U.S. since the early 1980's and will replace Universal's existing plants in Wilson, N.C. and Henderson, N.C.

Ray M. Paul, Jr., President of Universal Leaf North America, noted, `We are very pleased to announce this significant investment in the United States. We made this decision as a result of an intense planning process considering the needs of our domestic and foreign purchasers of U.S. tobacco. This facility will make it possible for us to meet the exacting requirements of our customers at a level of efficiency that we believe will set the standard for the industry.`

Universal Leaf Tobacco Company, Inc. is a subsidiary of Universal Corporation (NYSE: UVV), a diversified company with operations in tobacco, lumber, and agri-products. Gross revenues for the fiscal year that ended on June 30, 2000 were approximately $3.4 billion.