US foodservice company Gordon Food Service has said it plans to build a distribution centre in Shepherdsville, Kentucky.

The Michigan-based company said it expects to initially employ 150 people at the centre, which is due to open in 2006. The company plans to increase the workforce there to 280 within five years.

The Kentucky Economic Development Finance Authority has approved US$7.5m in state tax breaks to help offset start-up costs, reported the Associated Press.

Gordon Food Service delivers food products to hospitals, schools and restaurants in ten states.