Marietta, Georgia, USA, 16 July 2008 -- /PRNewswire/ -- Graphic Packaging International, Inc., a subsidiary of Graphic Packaging Holding Company (NYSE: GPK) , today announced that it has been awarded economic development tax credits from the state of Michigan and the city of Kalamazoo to assist a USD 27 million planned expansion of the company's operations in Kalamazoo, Michigan.

Graphic Packaging, formed in March 2008 by the combination of Graphic Packaging Corporation and Altivity Packaging, LLC, currently operates a coated recycled paperboard mill and manufactures folding cartons for a wide variety of food, beverage and consumer products packaging at its production facility in Kalamazoo. The site in Kalamazoo has a total workforce of more than 500 employees. The hourly employees are represented by the United Steelworkers Union, which assisted the company in this process.

The company is planning to expand these operations, including the addition of up to 160 local jobs, as part of its overall optimization of its domestic manufacturing footprint. Planning discussions with the city of Kalamazoo, state of Michigan, and local management are in progress to commence construction on a fast track schedule to avoid delays related to seasonal conditions.

Graphic Packaging International, Inc., a subsidiary of Graphic Packaging Holding Company (NYSE:GPK), headquartered in Marietta, Georgia, is a leading provider of paperboard packaging solutions for a wide variety of products to food, beverage, and other consumer products companies. The company is one of the largest producers of folding cartons and holds a leading market position in coated recycled boxboard and specialty bag packaging. Additional information about Graphic Packaging, its business, and its products is available at www.graphicpkg.com .

Source: Graphic Packaging International, Inc.