NEWS RELEASE

Contact

Knauf Insulation reports quick progress on fire recovery

(SHELBYVILLE, Ind., February 20, 2007)  Knauf Insulation’s Shelbyville Plant I production facility is already generating customer-ready fiberglass insulation from two of its four manufacturing lines after being struck by fire last Friday morning, company officials today reported. 

The blaze, first sighted early the morning of February 16, started in an office area of Knauf’s Plant I complex and was contained before spreading into the manufacturing facility.  With power restored, three of the plant’s four production lines are now operational, with testing and repair efforts ongoing on the fourth. 

“We owe another thanks to the firefighters and other emergency personnel who responded so quickly and brought the fire under control,” said Robert Claxton, Knauf’s president.  “Their efforts made it possible for us to be up and running so soon.  Our employees are also doing a remarkable job of restoring our production capabilities, clean up and repair work.”

Knauf employees impacted by the fire are being called back to work as manufacturing resumes, with personnel expected at full strength over the next few days.  The company sees no further impact on employment.

Claxton also confirmed earlier reports that Knauf’s $220M Plant I expansion project was undamaged by the fire.

“We’re investing heavily to grow our production capacity here in Shelbyville,” he said.  “Fortunately, the new construction was unaffected by the fire and we’re moving forward according to schedule—in fact, we have contracting crews on-site today continuing their work on the Plant I project.”

Knauf Insulation is a leading global manufacturer of thermal and acoustical insulations for residential, commercial, industrial, OEM and metal building applications.  For more information about Knauf sales and products, visit http://www.knaufinsulation.com/, write to Knauf Insulation, One Knauf Drive, Shelbyville, IN  46176 or call 800-825-4434.

###