Released on July 21, 2008

Orthopedics manufacturer Zimmer Holdings Inc. announced it will spend $19 million to expand its Warsaw, Ind., headquarters, adding approximately 50,000 sq. ft. to its metalcasting facility by 2011.

The maker of joint replacements, spinal systems and other implants plans to increase its annual output by approximately 1.3 million castings and add about 100 jobs while boosting automation. Zimmer will begin hiring engineers, supervisors and machine operators in 2009 to staff the expanded casting house. The company currently employs approximately 2,800 at the plant.

“We are making a number of quality and infrastructure investments to prepare Zimmer to compete in the healthcare markets of the future,” said Zimmer President and CEO David Dvorak. “The demand for joint replacements continues to grow worldwide.”

Zimmer’s expansion in Warsaw is the fourth in four years. In 2007, it announced a $66 million project to add 120,000 sq. ft. to its manufacturing and distribution facility. Two years earlier, the company expanded its global research and development center, adding nearly 100,000 sq. ft. of laboratory workspace to the company’s Warsaw West campus.  In 2004, the company announced a $64 million project to expand its manufacturing and distribution centers.

Zimmer has operations in more than 25 countries staffed by more than 8,000. The company’s 2007 sales were approximately $3.9 billion.

The Indiana Economic Development Corporation offered Zimmer up to $400,000 in performance-based tax credits based on the company’s latest job creation plans. Warsaw will provide the company with property tax abatement.