Tuesday, August 16, 2011

Jeep Plant in Toledo Planning Major Expansion

As Chrysler employees and metro Toledo celebrated the news Thursday that the automaker plans to add 1,105 jobs to its local work force, new documents released by the City of Toledo indicate that the automaker's future plans for its Toledo Assembly complex may be grander than first thought.
In an April letter, Chrysler Group LLC said it might add another 530,000 square feet to the existing 4-million-square-foot complex.
City economic development officials said Chrysler plans to eventually boost production of the hot-selling Jeep Wrangler and expand production in the plant that now makes the Jeep Liberty and Dodge Nitro SUVs.
Documents obtained Wednesday show Chrysler wants an $8 million addition to its facility so it can build vehicles for the 2013 model year, presumably including the next generation Liberty.
But documents from the city indicate that Chrysler was -- or still may be -- considering a $15 million second-phase expansion on its 312-acre site that, combined with the original $8 million, would add three new buildings to the complex.
Brian Mauk, who works on the assembly line at Jeep, called Chrysler's plans for the factory 'beautiful' and said he expects the expansion will occur because Jeep products are selling well in the United States and overseas. Brian Mauk, who works on the assembly line at Jeep, called Chrysler's plans for the factory 'beautiful' and said he expects the expansion will occur because Jeep products are selling well in the United States and overseas. THE BLADE/JEREMY WADSWORTH Enlarge | Photo Reprints
The new buildings would need employees, possibly beyond the 1,105 new hourly and salaried employees that the automaker has said it plans to hire.
A Chrysler spokesman said there would be no comment about a second phase, or whether one was still under consideration. The company is awaiting approval of a state incentive package to be considered by the Ohio Tax Credit Authority on Aug. 29, and the spokesman said Chrysler would have no announcement before then.
Chrysler did indicate it is considering building a 312,000-square-foot expansion of the body shop and quality lab at its Toledo North plant as part of what is currently under consideration. The new addition would be in the southeast corner of the complex, according to documents given to local officials. It also indicated four areas of Toledo North's final assembly building and body shop that would receive small additions.
Further expansion at Toledo Assembly may allow Chrysler to raise production of the Wrangler, a highly popular -- and highly profitable -- vehicle that the automaker and its Italian owner, Fiat SpA, will use to market the Jeep brand worldwide.
The Wrangler had its highest monthly sales in the United States in July at 14,335 units, and both its domestic and overseas sales continue to grow, stretching the Wrangler plant's capacity and causing concern at Chrysler that the popular vehicle might be in short supply.
But even if Chrysler only goes forward with plans for a second shift at Toledo North, local officials and Chrysler workers said the 1,105 new jobs are a much-needed boost to a region still struggling from the recent recession.
"It's beautiful," Brian Mauck said while at Zinger's Food & Spirits, a bar near the North Toledo plant. "The economy's growing. Chrysler's growing."
Chrysler plans to add 1,105 workers at the Toledo Assembly complex, but documents suggest further expansion could add three buildings to the site. A company spokesman would not say whether a second phase is still under consideration. Chrysler plans to add 1,105 workers at the Toledo Assembly complex, but documents suggest further expansion could add three buildings to the site. A company spokesman would not say whether a second phase is still under consideration. THE BLADE/JEREMY WADSWORTH Enlarge | Photo Reprints
Mr. Mauck works on the assembly line at Jeep and said he expects the expansion will likely happen, with Jeep products selling well overseas.
Other employees, however, tempered their enthusiasm about the added shift, noting the expansion isn't official until financial incentives are approved.
But most were just happy that news and talk swirling about the plant were positive, a far cry from previous years.
"I'm happy they're doing this," said Al John as he left the North Toledo plant Thursday. "We need more jobs. It's a good thing for everybody."
In April, city officials offered Chrysler a number of incentives to expand its Toledo operations, including:
A 40 percent municipal job-creation tax credit that would return 40 percent of city income tax paid by newly hired employees, or about $289,000 per year for 10 years, as a credit against corporate profits taxes.
Cash grants of 30 percent of the city income taxes paid by newly hired employees, or about $244,000 per year for 10 years.
Frozen or reduced city water and sewer rates.
Roadway improvements totaling $500,000.
The city also offered tax abatements to real property that would have added about $9.5 million in incentives, but those have since been replaced by other incentives totaling about $600,000.
"This is important for our collective psyche," said Toledo's Deputy Mayor Tom Crothers, adding that Chrysler's move tells the community and outside world that businesses take Toledo seriously.
He said it also will bolster the work force and a sense that the city is moving forward.
"The fact that there were competitors made us sharpen our pencils," Mr. Crothers said. Chrysler's investment "is brand new money that we don't have."
Toledo Public Schools' officials and board members, who must approve any abatement of property taxes, vowed Thursday to support Chrysler's expansion.
"I want to congratulate Chrysler for deciding to make this investment in Toledo," school board President Bob Vasquez said.
The Toledo school district has been asked for a 15-year, 50 percent tax abatement on the plant's expansion, worth about $37,000 a year, district officials said. The Washington Local school district, where part of the plant lies, has received a similar request and will vote on it Wednesday, Superintendent Patrick Hickey said.
Staff Writer Nolan Rosenkrans contributed to this report.

Monday, August 15, 2011

Jeep Jamboree - Killington, VT 2011

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The heat of the summer is here, leaving most of us baking in 90 degree temperatures. But we'll let you in on a secret! There's a place you can go where you can cool off plus have some fun in your Jeep® brand vehicle. On July 14, 2011, Jeep Jamboree is heading to Killington, Vermont for the 5th Killington Jeep Jamboree. With an average summer temperature of 78 degrees, this is definitely the place to be during the sweltering heat. This Jamboree takes place at the Killington Resort, the largest ski resort in the East, and located in the heart of the Green Mountains. The ski lifts aren't open, but there are ample roads and trails to keep even the most avid Jeep 4×4 owner busy for a while.

This year, the Killington Grand Resort Hotel and Spa will serve as the Jeep Jamboree event headquarters. The off-road trails are on the resort's property and feature a tremendous variety of off-road challenges. Rocks, mud, and water are all represented at every difficulty level. You'll get plenty of off-roading fun in this two-day classic Jeep Jamboree. That's not all though. The Grand Spa offers a variety of interesting and reasonably priced services for a little pampering after a long day on the trail. If you manage to get away for longer than the weekend, you can take in 18 holes at the Killington golf course. This gem of a course is designed to take advantage of the spectacular and sweeping views while offering a championship golf experience.

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There are plenty of other activities for Jeep 4×4 owners who may want a little more challenge. If you have a chance, throw on your boots and spend some time hiking a portion of the Appalachian Trail which meanders through the Green Mountains. The Appalachian Trail is a public hiking trail which extends 2,155 miles from Georgia to Maine. In Vermont, the Appalachian Trail coincides with the Long Trail, a 265-mile border to border path stretching from the Massachusetts state line, through the Green Mountains, then on to the Canadian border. While you're packing the boots, you might as well go ahead and stash some camping gear in your Jeep brand vehicle and spend some time in the Green Mountain National Forest. Home to six designated wilderness areas, there will be plenty of places for you to pitch your tent and enjoy a rustic camping experience. The national forest also has a variety of picturesque automobile tours which take advantage of some stunning views and sweeping panoramas of the Green Mountains.

Only a short 50-mile drive from Killington is Montpelier, the capitol of Vermont. Established in 1781, and with a population of less than 8,000, Montpelier is the smallest state capitol in the United States. But don't let the size fool you because this small city has plenty to offer. Its small size allows for a thorough exploration in a short time. Stretch your legs after the Killington Jamboree and enjoy one of several walking tours offered by the Montpelier historical society. Nearby, the Dog River has excellent brown trout fishing opportunities.

Killington, Vermont is definitely the place to be during the hot summer, and you won't be disappointed with the great off-road challenges and numerous activities of this terrific Jeep Jamboree location.
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Chrysler Adds 1,100 Jobs to Toledo Plant

Chrysler is marching forward with plans to add more than 1,100 jobs at a Toledo assembly plant by 2013 despite a rocky U.S. economy that has whipsawed investors this past week.
The Auburn Hills automaker is planning to invest about $365 million at its Jeep Liberty and Dodge Nitro plant, city documents show. Experts say the investment is for the next-generation Liberty based on a Fiat platform. However, the plans depend on the approval of tax incentives by Toledo and two school districts.
"This project is ... going to put many of the parents of our students to work," said Bob Vasquez, board president for Toledo Public Schools, who will vote on the tax proposal Tuesday.
The new jobs would bring the total of future manufacturing jobs announced this year by General Motors, Ford and Chrysler to more than 11,100.
In Michigan, hourly employment by all automakers and suppliers has increased 25% to 129,300 since January 2009, said Kristin Dziczek, director of the labor and industry group for the Center for Automotive Research.
Still, some of the Detroit Three's hiring plans could be in jeopardy if the U.S. economy goes into a double-dip recession. "It always depends on the market," Dziczek said.
Michael Robinet, director of global production forecasts for IHS Automotive, said the profitable automakers are counting on an improving economy but noted they are better suited to weather economic difficulties. "We are in a different place now," he said.

Chrysler shows it's recovering

Chrysler's plan to invest $365 million at a plant in Toledo is another sign of the automaker's continued recovery.
Since Chrysler emerged from bankruptcy in June 2009, the company has added 6,000 salaried and hourly employees and invested nearly $3.2 billion in its U.S. plants. For the first half of the year, Chrysler has posted a loss of $254 million, although it would have been profitable without a onetime charge related to paying back its government loans.
On Thursday, Toledo city documents revealed that the Auburn Hills automaker plans to add about 1,100 jobs by 2013 at its Toledo Assembly Complex.
Chrysler plans to retain about 900 jobs at the plant and add the new jobs after it completes the expansion in 2013, according to tax-incentive proposals drafted by the city.
In return for the potential investment, the City of Toledo is offering Chrysler $15.4 million in tax abatements, grants and other incentives over 15 years.
While Chrysler declined to confirm the plans, it issued a statement that said Fiat and Chrysler CEO Sergio Marchionne talked about a possible plant investment in January.
"As part of the process, Chrysler Group is working with state and local governments to secure incentives that would support the business case for such an investment," Chrysler said in its statement.
Bob Vasquez, president of the board for Toledo Public Schools, expects his school district to vote in favor of property tax incentives for Chrysler on Tuesday. He said city officials also are in favor of the project.
Chrysler's product plan calls for the existing Jeep Liberty to be replaced with a new product based on a Fiat platform in 2013. It's expected to be more fuel-efficient and could help Chrysler boost its exports. "With the next-generation Jeep Liberty, they really have an opportunity to sell that worldwide," said Tracy Handler, senior analyst at IHS Automotive.
In July, Marchionne said Alfa Romeo and Jeep are the best positioned in the automaker's portfolio to become international brands.
Chrysler also has said the Jeep lineup will be more fuel-efficient with only the iconic Wrangler and Jeep Grand Cherokee maintaining a trail-rated designation for serious off-roaders.
The automaker must develop more fuel-efficient Jeep models to meet stricter fuel-efficiency standards as well as consumer preferences, said Michael Robinet, director of global production forecasts for IHS Automotive. "Jeep products are likely to focus on new, lighter, more-flexible structures," Robinet said.