A furniture manufacturer plans a $1 million expansion of its factory in Leitchfield, which is expected to create more than 100 new jobs.

OFS Brands Holding Inc. plans to introduce a new production line at its Grayson County plant, according to an announcement issued last week in concert with the governor’s office.

“This project will have a powerful economic impact on Leitchfield and the surrounding area, and we are grateful for OFS Brands’ continued confidence in Kentucky,” Gov. Matt Bevin said.

OFS, which produces products for the office, health care, education and hospitality sectors, employs approximately 1,850 people across all operations and 33 in Leitchfield, where it has operated since 1998.

In addition to the new production line, the investment includes facility improvements and the purchase of new equipment.

Since the company’s acquisition of Highmark in 2015, it has seen a boost in demand for ergonomic, mechanical-operated seating – also known as performance seating. The expansion will nearly double its operational output and allow the company to produce two new products to meet customer demand.

Founded in 1937, OFS is a privately owned company headquartered in Huntingburg, Indiana, where it operates 10 manufacturing plants and a central distribution warehouse.

Over the years, the company has grown to exceed $400 million in annual revenue with 1.5 million square feet of manufacturing space in Indi­ana, Kentucky, North Carolina and Cali­for­nia. It also operates a subsidiary, Bryan Ashley, in Deerfield Beach, Florida.  

To encourage the investment and job growth in the community, the Kentucky Economic Development Finance Authority gave preliminarily approved Thursday to the company for tax incentives up to $1 million through the Kentucky Business Investment program, the state news release said. The performance-based incentive allows a company to keep a portion of its investment over the agreement term through corporate income tax credits and wage assessments by meeting job and investment targets.

In addition, OFS can receive resources from the Kentucky Skills Network, including no-cost recruitment and job placement services, reduced-cost customized training and job training incentives.