VIRACON BREAKS GROUND ON NEW GLASS FABRICATING FACILITY IN GEORGIA

Viracon Names Beers-York as General Contractor

OWATONNA, Minnesota (May 21, 1998)—Viracon, Inc., a world leader in high-performance architectural glass, broke ground today on its new glass fabricating facility in Statesboro, Ga. Representatives from Viracon, the state of Georgia, Statesboro and Bulloch County were on hand to commemorate the event during a special ceremony.

Viracon also announced that it has chosen Beers-York as general contractor for the new Statesboro facility. Beers-York, which operates from offices in Greenville, S.C. and Atlanta, Ga., is established in the commercial and institutional markets and includes in its portfolio high-profile projects, such as Atlanta’s Olympic Stadium, the AT&T Olympic Village at Centennial Park, the High Museum of Art and many others.

The new Statesboro facility is Viracon’s most significant move to date in the company’s drive toward realizing Viracon’s tremendous growth potential. Viracon has been Apogee’s strongest growth driver over the past five years, but company officials have been frustrated that Viracon has not had sufficient production capacity to meet market demand.

The new facility will allow Viracon to get closer to its markets in the southeast region of the United States and closer to many of the international markets where the company does business. In addition, the southeast U.S. location will substantially reduce Viracon’s freight costs to roughly half of the U.S. and a number of key international markets.

Viracon’s site selection search for its new plant began in the fall of 1997 and included 23 cities in four states. There were several criteria that the site selection committee considered in its decision, including an exceptional quality of life, a strong school system, availability of labor and competitive power rates.

Crucial to their decision was that the city be located near a deep water port and major Interstates, since 25 percent of its finished goods will be shipped to international markets. In addition, the proximity to major Interstates helps improve their national distribution. In the end, Statesboro was an ideal fit for Viracon’s expansion plans.

Viracon anticipates that the new 330,000 square foot facility will begin full production processes, similar to the Owatonna facility, by mid-1999. Viracon will initially employ 200 people at the Statesboro facility. Approximately 85 percent of the workforce will be comprised of material handlers, technicians and equipment operators. The remainder will be administration and management. By the year 2003, Viracon expects to fill nearly 600 positions at their Statesboro facility. Recruitment efforts will begin late summer.

Viracon’s parent company, Apogee Enterprises, Inc., recently announced plans to initially invest $35 million in the new facility. During that time, the Statesboro facility will add 60 percent more capacity over and above what Viracon’s Owatonna facility already produces. Apogee has secured 50 acres in the Gateway Regional Industrial Park in anticipation of future expansion plans.

Viracon, based in Owatonna, Minn., is an international company of the Glass Technologies Division of Apogee Enterprises, Inc. The company produces high-performance glass products, including tempered, laminated, insulating, security, silkscreened, privacy and high-performance coatings.

Apogee Enterprises, Inc. is a leading fabricator, distributor and installer of value-added glass products and systems. The company is organized into three operating segments: Building Products & Services (BPS), Glass Technologies (GT), and Auto Glass (AG). Headquartered in Minneapolis, the company’s stock is traded on the Nasdaq Stock Market under the symbol APOG.

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