ROCHESTER, N.Y. (AP) — American Packaging Corporation is expanding in upstate New York.

State officials say the company has broken ground on a new 350,000-square-foot (32515 sq. meter) plant in the suburbs of Rochester. It's expected to create more than 260 full-time jobs over the next five years.

The company is investing nearly $170 million in the project, which will support 100 construction jobs and also allow American Packaging to retain the 170 employees it currently employs in the Rochester area.

American Packaging had planned to construct a new plant near its facilities in Iowa until New York offered up to $14.7 million in performance-based incentives. The new plant is expected to be operational by the end of the year.

Democratic Gov. Andrew Cuomo announced the deal on Wednesday.

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