©2018 Michigan Economic Development Corporation

Governor Announces Expansion of Comau Pico in Plymouth Township to Create 197 New Michigan Jobs

Tuesday, May 16, 2006

Michael Shore, MEDC
(517) 335-4590

Global Manufacturer Chooses Michigan for North American Headquarters

Governor Jennifer M. Granholm today announced Comau Pico Inc. plans to consolidate 13 of its Metro Detroit operations into a new, four-building North American headquarters and manufacturing campus in Plymouth Township. The project will create 197 new jobs, including 120 directly by the company and retain approximately 1,360. Assistance offered through the Michigan Economic Development Corporation helped convince the company to choose Michigan instead of other out-of-state sites.

"Comau Pico's expansion is proof that Michigan's economic plan is paying dividends," Granholm said. "Our competitive business climate and top-notch workforce make Michigan the right place for global manufacturers to compete and grow new jobs."

DeMattia Group will develop the $100 million-plus site which will be leased to Comau Pico in a long term agreement. The MEDC approved a Single Business Tax credit valued at more than $7.6 million over 15 years to convince the company to grow in Michigan. Plymouth Township has approved a 12-year tax abatement valued at $8.6 million to support the project.

"The incentives received from the state and local governments are key factors in our decision to select the Plymouth Township site for our North American Headquarters and manufacturing campus," Comau Pico President and CEO John Newman said. "Their support, as well as Comau Pico's long-term relationship with the Detroit-area automotive manufacturing market, ultimately made the decision much easier."

An economic analysis conducted by the University of Michigan estimates that increased economic activity created by the new facility will generate an additional 77 indirect Michigan jobs, in addition to the 120 created directly by the company. The project is expected to generate more than $253 million in personal income for Michigan workers over the life of the tax credit.

"I applaud Plymouth Township and Wayne County officials for helping us put together a strong business case to win this expansion," MEDC President and CEO James Epolito said. "Strong state and local partnerships are vital as we compete for new investments in the global economy."

The expansion is one of three economic development projects the Governor announced today. In all, they are expected to create and retain a total of 3,060 Michigan jobs.

"Wayne County proactively seeks out and supports attracting 21st century business investments that bring jobs," Wayne County Executive Robert Ficano said. "We are excited that Plymouth Township has been selected as the Comau Pico North American Headquarters site. Working in conjunction with the governor, MEDC and Plymouth Township leadership has resulted in this significant achievement for southeast Michigan and the state."

Comau Pico Inc. is a leader in industrial automation and assembly systems serving customers in the automotive, defense, aerospace, heavy truck, agricultural and construction industries. The company currently employs approximately 1,900 associates at 18 facilities in Michigan.

"The Plymouth Township oar is in the water and we are pulling alongside the State of Michigan and Wayne County to spur economic development and create jobs," Plymouth Township Supervisor Richard M. Reaume said.

In her 2006 State of the State address, Granholm emphasized the importance of making Michigan a global economic powerhouse in the 21st century. Since January 2005, the Governor and the MEDC have announced the creation or retention of more than 85,000 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. For more information on the Michigan Economic Development Corporation's initiatives and programs, visit the Web site at www.michigan.org.

Comau Pico Inc.
Economic Analysis
Summary Estimates
(All estimates in 2006 dollars)




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Personal Income Generated Over
Life of the Five-Year Tax Credit Agreement


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