Week of July 22, 2002
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Headed for North Georgia
JEFFERSON, Ga. They broke out the sake and peaches last week in North Georgia after Toyota Industries and Denso Corp. announced a new 120-employee plant that will be located near Pendergrass, Ga.
Wages Will Average $60,000 a YearMAC needed a second plant to keep pace with North American demand, said Shozo Nakayama, executive vice president of Toyota Industries. The company's total North American sales are projected to grow to 7 million units by 2005, he explained. Denso, which is 25 percent owned by Toyota, is Japan's largest auto-parts manufacturer.
The company's air compressors are used in a wide range of autos, including models that are made by BMW, DaimlerChrysler, Honda and Toyota. To accommodate potential further increases in demand, the new Georgia plant will be built so that its size and capacity can be doubled.
The Jackson County site was picked because of its "strategic location" and access to I-85, Nakayama said. The county is also installing all infrastructure to serve the plant, which will be located a 152-acre (60.8-hectare) site in an area once known as Valentine Farms. The area has already been rezoned for light industry.
MAC's 120 employees will earn average salaries of $60,000 a year, Nakayama said. That's almost three times the $22,208 annual per-capita income in Jackson County, which has some 44,000 residents.
State and local officials are undoubtedly hoping that the new Georgia plant follows the upward expansion curve that's unfolded at MAC's first operation, which is located in Parma, Mich. That plant opened in 1988 with 150 employees. It's since grown to 900 workers and ranks as the largest North American operation manufacturing compressors for automobile air conditioners.
Toyota officials at the project announcement toasted the new project with glasses of sake. State officials in turn presented crystal statues of peaches to Toyota's representatives.
British Firm Bringing 200-Employee
Plant to West Tennessee
MILAN, Tenn. Britain's Flight Refueling Countermeasures (FRC) is bringing 200 new jobs to West Tennessee, and a U.S. Army arsenal will be home to its new plant.
Arsenal Recruiting Private Sector to Cut CostsFRC isn't the first private-sector concern to establish an operation in the Milan AAP. Seeking to reduce its operating costs, the arsenal in 1999 began recruiting individual businesses to lease space.
FRC will be the fifth private-sector firm to open an operation in the Milan AAP, which is located some 100 miles (160 kilometers) northeast of Memphis. The arsenal has a total of 1,461 individual buildings on its grounds.
The Milan AAP was placed on standby status after the end of World War II. It reopened during the Korean War. The arsenal currently makes medium-caliber ammunition for the Army.
FRC's West Tennessee operation will make its pyrotechnic devices for the U.S. Dept. of Defense. The company is a subsidiary of Flight Refueling Ltd., which is based in Dorset on England's south coast.
First U.S. Location
Italy's Salami SpA Building HQ/Mfg. Operation in Greene, N.Y.
GREENE, N.Y. Italy's Salami Hydraulics is coming to America, setting up its first U.S. operation in Greene, N.Y. The company, a newly formed business unit of Modena, Italy-based Salami SpA, will build a new facility that will house both its U.S. headquarters and a manufacturing facility.
One of Biggest Customers Based in GreeneThe operation will place Salami Hydraulics virtually in the back yard of one of its most important customers - Raymond Corp., a manufacturer of electric forklift trucks that's based in the city of Greene. Salami SpA's sales of hydraulic lifts to the Chenango County-headquartered company have made Raymond Corp. one of the biggest clients for the Italian firm.
The Raymond-Salami linkage reflects part of Chenango County's recruitment strategy, local officials explained.
"It is important to recognize the significance of the local procurement relationship between Salami Hydraulics and Raymond, our county's major employer," said Chenango County Chamber of Commerce President and CEO Tammy Carnrike. "The strength of business procurement relationships is an important element in our strategy to revitalize the upstate economy."
The new operation in Greene will also be used for warranty repair and support of Salami SpA's North American distributors and customers. Currently, all repairs for the company's North American customers are shipped all the way back to Italy.
The operation's floor space will total between 40,000 to 65,000 sq. ft. (3,600 and 5,850 sq. m.), Salami Hydraulics officials said.
"SpA Managing Director Gianfranco Leo and I have determined that the Greene facility will be one of the most modern, technically advanced plants of its kind," President Jim Cunningham said. "The jobs we are bringing to New York will be both challenging and satisfying. We love New York and enjoy being part of the Greene community. Together, we will grow and prosper."
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