Associated Hygienic Products LLC ("AHP") announces that in partnership with the Waco-McLennan County Economic Development Corporation and the State of Texas, the Company will build and operate a new disposable baby diaper manufacturing and distribution facility in Waco, Texas. This custom, design-to-build, world-class facility will be approximately 250,000 square feet with additional land available for future expansion, located on Texas Central Parkway in the Texas Central Park. AHP plans an operating staff of at least 115 personnel to be employed at this facility and anticipates a larger staff within two years of the startup. AHP is one ofthe leading manufacturers ofCorporate Brand Baby Diapers and Training Pants in the USA and will celebrate its 25th Anniversary in 2009 when its new Waco plant is expected to begin commercial operation. AHP is a wholly-owned subsidiary of DSG International Limited ("DSG") which has manufacturing locations throughout SE Asia and Greater China. DSG is globally recognized as a successful manufacturing company for over 35 years, with a strong reputation of offering innovative and creative products for the disposable baby diaper and adult incontinence product markets. AHP recently completed a major expansion of its manufacturing facility located in Delaware, OH (Columbus, OH metro area) which began commercial production in 2007, replacing an older manufacturing facility located in Marion, OH. This World Class facility is also a custom, design-to-build facility, and now has more than 370,000 square feet of manufacturing and distribution space. The Company also operates a third manufacturing facility in Vancouver, WA (Portland, OR metro area) and has its Corporate Home Office and SE Distribution Center located in Duluth, GA (Atlanta, GA metro area). In total, the Company currently employs almost 500 personnel. AHP President and CEO Mr. George H. Jackson III said: "I am extremely proud and excited about announcing our new world-class facility to be built in Waco, Texas. It is a clear reflection ofour tremendous growth and success; but more importantly to our sincere commitment to AHP's Corporate Vision "To be a Customer and Consumer Driven World Class Company....". Waco, Texas was specifically chosen after thorough analysis ofgeographic locations which most benefit our valued retail customers. Another key influence was that Waco had, for over 20 years, a very successful manufacturing facility of baby diapers located there -Paragon Trade Brands (PTB-formally Weyerhaeuser Co.) that employed over 300 personnel. I am in fact, an ex-Weyerhaeuser manager, and was very familiar with the facility located here, and viewed it as a top performing manufacturing plant. When considering a number ofpotential sites for our new facility, I viewed Waco as geographically and strategically located for our retail customers and knew there was a "wealth and depth of technical diaper manufacturing expertise" in the area. This new facility will also make AHP the only supplier of PL diapers and training pants with three strategically located domestic facilities serving the entire USA market. With the pricing ofdiesel fuel at an all time high, it simply makes sense to offer improved transportation costs to our retail customer partners."
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