Now hiring: S&D Coffee plans to add 200 jobs

S&D Coffee & Tea, one of the area’s most prominent legacy companies, plans to hire more than 200 people over the next five years.

In a news release that coincided with S&D’s Nov. 19 announcement, Gov. Bev Perdue said the new jobs are part of the company’s plans to invest $97 million in expansion projects. S&D will outfit two buildings near Concord Regional Airport to boost its capacity for producing coffee, tea and extracts.

The average annual wage for the new jobs will be $36,311, exceeding the Cabarrus average of $32,292. Among other duties, new hires could roast and package coffee, blend iced teas, and manufacture extracts and other food ingredients.

The projects were made possible, in part, by state grants. Among state incentives for the expansion is a rebate of state income taxes on the new jobs. The city unanimously approved the incentives, while the county voted to approve them 3-1.

The company said it’s expanding its facilities to accommodate current and future growth. The projects are expected to have an estimated $48 million economic impact on the area.

Legacy of success

Ron Hinson, S&D’s chairman of the board, president and 15-year CEO, has worked at S&D for 35 years. He made a formal announcement Monday inside one of the expansion sites near the airport.

Sales, which have grown 400 percent in the last decade, prompted the expansion, said Hinson, who is focused on making S&D a billion-dollar company in the next few years. The company’s sales for fiscal 2012 will be $500-700 million.

“This major expansion, which will add 200-plus jobs…, is a multipurpose, manufacturing facility where we’ll roast and package coffee, and blend and package iced tea,” said Hinson in a phone interview after the news conference.

The decision to stay in Concord wasn’t strictly based on profits.

“This is about being a part of the fabric of this community,” Hinson said. “And, being here all these years, we’d almost like to start another legacy that says, ‘Here’s the new S&D; here’s what we’re about today, and here’s what we’re going to be about in the future.’ ”

More expansion projects are possible in the next decade.

“We don’t know if this project has an end date,” said Hinson. “We don’t know if we’ll continue to add or where this is going to take us – especially if our business continues to grow like it has in the last several years.”

Moving forward

John Cox, president and CEO for Cabarrus Economic Development and Cabarrus Regional Chamber of Commerce, said the addition of good jobs will help move the city, county, region and state forward.

“These are excellent jobs in the area of manufacturing,” said Cox. “S&D has exceeded their expectations continuously, so my guess is they’ll continue to invest and go beyond the $48 million (estimated economic impact) and beyond the 200 jobs.”

Latest unemployment numbers hover around 8.5 percent, so Cabarrus is lucky to have a company willing to risk expansion, said Cox. The company’s search for an expansion site has been ongoing for several months. S&D considered other locations around the Charlotte region before deciding to stay in Concord.

“(Ron Hinson) made it clear in the press conference…,” said Cox. “This company could’ve gone anywhere and had offers to go anywhere. We put up a crazy war to keep them here.”

About S&D

Formerly known as S&D Coffee, the new name – S&D Coffee and Tea – is meant to reflect tea’s growing importance in its product offerings.

Founded in 1927, the nation’s largest custom coffee roaster serves 80,000 customers nationwide. Located in Concord since 1929, it is one of the city’s and county’s largest employers.

S&D has two production facilities and one fulfillment/delivery center in Cabarrus. It has warehouse and distribution centers in 38 states, and it employs more than 1,000 people nationwide.

It has 613 workers in seven locations across the state and about 400 live in Cabarrus.