Former Colortree factory to be taken over by new company
Moore DM Group's $31M investment will bring back 239 jobs to Henrico printing plant.
Tulsa, Oklahoma-based marketing conglomerate Moore DM Group will invest $31 million in reopening the Henrico County printing plant formerly operated by Colortree Group Inc., which abruptly went out of business in June, leaving 240 employees out of work. The new plant will be run as Richmond Print Group, a subsidiary of Moore DM Group.
Richmond Print Group will prioritize hiring those impacted by the June 2019 layoffs, creating 239 jobs, Gov. Ralph Northam announced Tuesday.
Moore DM Group includes 33 companies with more than 2,500 employees in marketing and media. The company, which also has a direct mail operation, will purchase and install all-new equipment in the former Colortree facility in order to discontinue outsourcing its envelope production.
“The printing industry is becoming increasingly high-tech and Richmond Print Group will be a state-of-the-art facility equipped to serve its direct marketing clients throughout the country and the world,” Northam said in a statement.
The Virginia Economic Development Partnership worked with the Henrico County Economic Development Authority and the Port of Virginia to secure the project for Virginia, ultimately landing the deal up against Maryland and Massachusetts. The project will also receive a $100,000 grant from the Commonwealth’s Opportunity Fund to help the county with the project.
Moore can also receive benefits from the Port of Virginia Economic and Infrastructure Development Zone Grant Program and the Major Business Facility job Tax Credit for full-time jobs created. The Virginia Jobs Investment program will provide training and other services to Moore for new employees.
“Moore’s commitment to hire 239 new full-time employees at Richmond Print Group speaks to their confidence in the workforce skills and training programs like those offered by the Henrico Career and Technical Education Center,” Frank J. Thornton, Supervisor of Henrico’s Fairfield District, said in a statement. “Moore will continue their legacy of manufacturing high-quality products in our pro-business environment, which will ensure the future of this plant for many years to come.”
Colortree Group was a direct mail marketing company that was headquartered for more than 30 years at the 142,993-square-foot industrial building at 8000 Villa Park Drive in Henrico that will be the future home of Richmond Print Group. Colortree closed suddenly on June 3, 2019, without giving employees advance notice.
Less than a week later, former Colortree employee Terry Kennedy filed a class action lawsuit against Colortree on a violation of the Virginia Wage Payment Act. Workers were not notified 60 days before the closure was announced, so workers sought to recover 60 days worth of wages and benefits. Kennedy requested that the case be dismissed on Dec. 31, 2019. Kennedy had been employed by Colortree from April 2016 until the closure, according to the complaint.