The company will add 72,150 square feet to its existing 39,000-square-foot facility to increase warehousing, distribution and manufacturing space.

Wolf Steel USA anticipates the expansion to be complete in March 2010, resulting in the initial creation of 15 new jobs and growing to 18 over the term of the agreement. The project represents a capital investment of more than $3.2 million in the state, according to the Commonwealth of Kentucky Cabinet for Economic Development.

The project is one of the first to be approved by the Kentucky Economic Development Finance Authority (KEDFA) under the new Kentucky Business Investment Program. KEDFA preliminarily approved Wolf Steel USA for up to $360,000 in tax incentives, which can be earned over a 10-year period through corporate income tax credits and wage assessments. The maximum annual approved amount to be earned is $36,000.

The business incentive program is a result of Gov. Steve Beshear’s Incentives for a New Kentucky legislation, sponsored by state Rep. Tommy Thompson, D-Owensboro, and passed during the 2009 Extraordinary Session of the Kentucky General Assembly. The program consolidates four incentive programs into a single, more flexible program for new and expanding businesses, according to the Kentucky Cabinet for Economic Development.

“We are proud to expand our facility in Kentucky as demand for our Napoleon fireplaces and gas grills grows, and appreciate the help of the Kentucky Cabinet for Economic Development,” said Stephen Schroeter, administration manager for Wolf Steel USA.

The Kentucky Cabinet for Economic Development is the primary state agency in Kentucky responsible for creating new jobs and new investment in the state. New business investment in Kentucky in 2008 totaled nearly $1.7 billion, with the creation of more than 7,750 new jobs, according to the cabinet.