|
|
|
|
The eBearing News
December 24, 2004
Federal-Mogul Lands
Michigan Job Retention Incentives
copyright © 2004 eBearing Inc.
Federal-Mogul Corp. (USA, operating under Chapter 11 bankruptcy protection since October 2001) landed
a grand total of more than $65 million in tax incentives for keeping its bearing, bushing and washer
manufacturing plants in Michigan.
The state worked hard to keep Federal-Mogul; it employs more than 1,800 people in Michigan, and the
state's unemployment rate stands at 6.6%, well above the national average.
Michigan Governor Jennifer Granholm announced the, "Single Business Tax Incentive," in concert with the
Michigan Economic Development Corporation (MEDC). Other MEDC initiatives are targeting a total
of 10,000 more jobs to keep in Michigan. So far in 2004, Michigan and MEDC say they have created
or actively retained at least 54,000 jobs in Michigan.
Governor Granholm kicked off the effort to induce Federal-Mogul to stay in Michigan after F-M
announced in early 2004 it was actively considering shutting down its Michigan manufacturing
facilities and moving production to lower cost locations.
"In a global market, we hve to fight for jobs and make a strong business case that our
companies can and will grow here," said Governor Granholm.
• article: Federal-Mogul Greenville plant will stay open
• article: Federal-Mogul St. Johns plant will stay open
The state and MEDC interventions were necessary to put the deals over the top. Alone, Greenville and
St. Johns did not have the financial resources to satisfy Federal-Mogul. Even so, Greenville offered
property tax abatements of $140,000 over 12 years, while St. Johns offered tax credits of
$186,000 over 6 years.
|
|
|
printer-friendly version
|
|
- by Bruce A. Carr
from individual research,
tips and commercial sources.
Unauthorized reproduction is prohibited.
|
|
eBearing.com ... for everything that moves™
Entire contents Copyright 1999-2008, eBearing Inc. All rights reserved.
eBearing.com and "... for everything that moves" are registered
trademarks of eBearing Inc.
|
|
|
|
|
| |
eBearing.com ... for everything that moves™
Entire contents Copyright © 1999-2008, eBearing Inc. All rights reserved.
eBearing.com and "... for everything that moves" are registered trademarks of eBearing Inc.
|
|
|
