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MITCHELL'S GOURMET FOODS STARTS MAJOR EXPANSION

Released on October 4, 1999

Mitchell's Gourmet Foods is investing $45 million to expand its plant in

Saskatoon, creating more than 160 new jobs.



The company will build a new smoked sausage and wiener facility across from its

existing plant. The project is the first phase of a planned major complex that

could include new ham processing and bacon producing facilities.



"This expansion is a huge expression of confidence in Saskatchewan by one of

our largest and most progressive companies," Premier Roy Romanow said at

today's sod-turning event. "By building on Saskatchewan's strength in food

processing, Mitchell's is positioning itself to market new products and, above

all, create jobs for our people."



In addition to the 160 jobs at the new facility, another 200 jobs will be

created during construction.



Mitchell's has worked in partnership with the Government of Saskatchewan, the

City of Saskatoon and the Saskatoon Regional Economic Development Authority on

the project.



Saskatchewan Agriculture and Food will provide up to $600,000 over two years

from the Technology Adoption & Demonstration Fund to help the company bring new

technology to the plant. Saskatchewan Post-Secondary Education and Skills

Training will contribute up to $450,000 over three years under the

JobStart/Future Skills program to train new employees.



The new plant will be built on a 14.3 acre site in Holiday Park the company is

purchasing from the Crown Investments Corporation of Saskatchewan.



"Mitchell's Gourmet Foods is pleased to be involved in this partnership and we

believe that this project contributes to the economic success of our city and

province, as well as our own company," said Stu Irvine, President & Chief

Operating Officer of Mitchell's Gourmet Foods Inc.



Construction of the new plant is expected to begin in the fall.



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For more information contact:



James Millar

Media Relations

Regina

Phone: (306) 787-6349

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