©2016 Michigan Economic Development Corporation

Alphi to Expand in Mid-Michigan, Create 88 New Jobs

Tuesday, August 17, 2004

Paul Krepps, MEDC
(517) 335-4590

Company Chooses Michigan Over Indiana for $6 Million Project

Governor Jennifer M. Granholm announced today that Alphi Manufacturing Inc. will expand its operations in Jonesville, creating 88 new jobs for Michigan workers, including 80 manufacturing-related jobs directly by the company. The expansion is a result of assistance offered through the Michigan Economic Development Corporation (MEDC).

The MEDC approved a Single Business Tax credit valued at $553,000 to help convince Alphi to choose Michigan over a competing site in Indiana. The expansion is expected to generate $6 million in private investment.

"Alphi's decision to stay and invest in the community is proof positive that Michigan remains competitive in the global market," said Granholm. "We appreciate Alphi's continued commitment to the state's manufacturing workforce."



"Alphi is very pleased to confirm its continued investment and growth in Michigan," said Alphi CFO Philip Marshallsay. "The assistance from the MEDC and Jonesville will help us to be more competitive in an ever more challenging global marketplace."

The village of Jonesville is expected to support the expansion with an abatement of the company's new real and personal property taxes worth an estimated $389,000.

A University of Michigan economic analysis estimates that eight indirect Michigan jobs will be created as a result of increased economic activity associated with the expansion, in addition to the 80 jobs created directly by the company. The project is expected to generate more than $26 million in personal income for Michigan workers over the life of the tax credit.

"This manufacturer's decision to stay and grow in Michigan is a testament to our ever-improving business climate," said MEDC President and CEO Don Jakeway.

Based in Jonesville just north of Hillsdale, Alphi manufactures metal tubular products as well as anti-vibration and suspension components primarily for Tier One auto suppliers. The company was founded in 1959 and currently employs more than 101 people.

In her 2004 State of the State address, Governor Granholm announced her plan to make Michigan a global economic powerhouse in the 21st century. So far this year, the Governor and the MEDC have announced the creation or retention of approximately 25,063 jobs as a result of targeted assistance provided by the MEDC.

The Michigan Economic Development Corporation, a partnership between the state and local communities, promotes smart economic growth by developing strategies and providing services to create and retain good jobs and a high quality of life.


Alphi Manufacturing Inc.
Economic Analysis
Summary Estimates
(All estimates in 2004 dollars)

TOTAL JOBS CREATED88
Direct80
Indirect8
NET POSITIVE STATE REVENUE IMPACT$1,458,000
Revenue Foregone$553,000
Revenue Gain$2,011,000
Average Wage$426/week
Personal Income Generated Over
Life of the Tax Credit Agreement
$26,091,000