Providência USA Opens Facility, Announces Expansion

Providência USA Inc., the U.S. subsidiary of nonwovens manufacturer Companhia Providência Indústria
e Comércio, Brazil, recently celebrated the opening of its $80 million manufacturing facility in
Statesville, N.C., and announced it would invest an additional $60 million on a facility expansion.
The combined investments represent the largest manufacturing investment announced in Statesville in
nearly 25 years.

“This marks a new era in the company’s history: the international expansion of its
operations, will initially serve US clients currently exporting from Brazil,” said Providência
President Hermínio de Freitas. “This will account for approximately 50 percent of the new plant’s
production capacity. Furthermore, we will have the ability to supply new customers in the
disposable hygienic segment and focus in the healthcare segment. Not to mention we will supply
other regions in which we were not competitive, such as Mexico.” 

In phase one of the project, Providência built a 90,000-square-foot state-of-the-art facility
and installed a Reicofil spunbond line to manufacture nonwoven fabrics for use in disposable
hygiene products such as diapers, sanitary pads and medical/surgical drapes and gowns. The plant
currently employs 53 workers, with three more to be hired imminently, has an annual production
capacity of 20,000 tons and already has a backlog of orders. In phase two, slated for completion in
the second half of 2012, the company will install a second spunbond line, add 28 more employees and
double production capacity to 40,000 tons.

March/April 2011