©2018 Michigan Economic Development Corporation

Delfield Expansion in Mt. Pleasant Brings Over 250 New Michigan Jobs

Tuesday, July 13, 2004

Paul Krepps, MEDC
(517) 335-4590

Food Service Supplier Adding New Production Line

Governor Jennifer M. Granholm announced today that assistance offered through the Michigan Economic Development Corporation (MEDC) has convinced The Delfield Company to add a new production line to its Mt. Pleasant operations that will result in some 260 new Michigan jobs.

The company intends to invest $4 million to purchase new machinery and equipment to support the development and custom manufacturing of a refrigeration unit for a multi-national restaurant chain. A Single Business Tax Credit approved by the MEDC and worth more than $1.8 million helped convince The Delfield Company to expand in Michigan rather than a competing site in Tennessee.

"This new contract for a multi-national customer is an exciting opportunity, not only for Delfield but for its present and future employees as well," Granholm said. "This expansion will have a strong impact on the Mt. Pleasant area economy for years to come."

In her 2004 State of the State address, Governor Granholm announced a focused plan for achieving a powerhouse economy. So far this year, the Governor and the MEDC have announced the creation or retention of approximately 23,344 jobs as a result of targeted assistance provided by the MEDC.

The Delfield expansion is one of seven major economic development projects the Governor announced today. In all, they are expected to create or retain a total of 5,987 Michigan jobs, including 3,543 directly by the companies.

"The incentives provided by the state and the availability of a skilled workforce make it possible for us to aggressively pursue opportunities with international restaurant chains, and continue to grow and provide good paying jobs for many people in our community," said Ronald Anderson, Vice President of Human Resources for The Delfield Group.

In addition to the Single Business Tax credit, Delfield is expected to receive a state Economic Development Job Training (EDJT) grant from the MEDC worth $109,500, and local property tax abatements from Union Township worth an estimated $268,200 over 12 years.

A University of Michigan economic analysis estimates that 42 indirect Michigan jobs will be created as a result of increased economic activity associated with the expansion, in addition to the 219 jobs created directly by the company. The project is expected to generate more than $80 million in personal income for Michigan workers over the life of the tax credit.

"Delfield is an innovative company helping to advance us toward our goal of expanding and diversifying Michigan's manufacturing base," said MEDC President and CEO Don Jakeway. "It is certainly worth our while to provide the kind of state and local incentives that have made it possible for Delfield to add these new jobs in Mt. Pleasant."

Delfield, a subsidiary of U.K.-based Enodis since 1999, makes food service equipment including blast chillers, refrigerated and heated display cases, serving counters and reach-in refrigerators and freezers, with sales of $100 million in 2003. Customers include hotels, institutions and restaurants.

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.

The Delfield Company
Economic Analysis
Summary Estimates
(All estimates in 2004 dollars)

Revenue Foregone$1,843,000
Revenue Gain$6,197,000
Average Wage$420/week
Personal Income Generated Over
Life of the Tax Credit Agreement