Tuesday, February 15, 2005
Michael Shore, MEDC
Metaldyne to Invest $8 Million in Middleville Plant
Governor Jennifer M. Granholm today announced that Metaldyne plans an $8.l million expansion of its Middleville facility to accommodate the manufacture of an aluminum part for the new six-speed transmission to be used by two North American automakers. Assistance offered through the Michigan Economic Development Corporation (MEDC) helped convince the company to locate the project in Michigan instead of a competing location in Ohio.
"Metaldyne's decision to grow here is the direct result of Michigan's highly-skilled talent pool and our favorable business climate," Granholm said. "This project proves again that Michigan won't be stuck in neutral when it comes to bringing new manufacturing jobs to our state."
The MEDC approved a Single Business Tax credit valued at approximately $670,000 to win the project as well as an Economic Development Job Training grant of up to $32,000 for 64 new hires.
The expansion of Metaldyne is one of seven major economic development projects the Governor announced today. In all, they are expected to create and retain a total of 25,441 Michigan jobs. The village of Middleville is expected to consider a tax abatement valued at $387,200 over 12 years in support of the project.
"This is a good example of how you keep jobs in America and in the state of Michigan," Myra Moreland, Metaldyne vice president of Corporate Affairs said. "To be competitive it takes a partnership with government, like the one demonstrated today, and it takes a dedication to quality and productivity like the Metaldyne Middleville employees demonstrate everyday."
A University of Michigan economic analysis estimates that 28 indirect Michigan jobs will be created as a result of increased economic activity associated with the expansion, in addition to the 64 jobs created directly by the company. The project is expected to generate more than $35 million in personal income for Michigan workers over the life of the tax credit.
Metaldyne is a leading global designer and supplier of metal-based components, assemblies and modules for transportation-related powertrain and chassis applications including engine, transmission/transfer case, wheel-end and suspension, axle and driveline, and noise and vibration control products to the motor vehicle industry. Headquartered in Plymouth, Mich., Metaldyne has annual revenues of nearly $2 billion. The company employs over 7,500 men and women at nearly 50 facilities in 13 countries, with over 2,000 employees at 11 facilities in Michigan.
In her 2005 State of the State address, Granholm emphasized the importance of making Michigan a global economic powerhouse in the 21st century. In the past 12 months the Governor and the MEDC announced the creation or retention of more than 80,423 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.
Metaldyne Machining and Assembly Co., Inc.
(All estimates in 2005 dollars)
|TOTAL JOBS CREATED||92|
|NET POSITIVE STATE REVENUE IMPACT||$2,074,000|
|Personal Income Generated Over|
Life of the Tax Credit Agreement