When in Indiana, think red, as in Bob Knight and his beloved Hoosiers. But think green (as in full speed ahead) when it comes to the business climate of the state dubbed the crossroads of America.
Indiana ranks first in the production of a diverse group of products, including raw steel, mobile homes, radios and televisions, wood office furniture and elevators and escalators, just to name a few.
Thanks to an outstanding work force, a balanced budget and beneficial business incentives, Indiana is experiencing growth around the state.
Auto industry on the move
The Toyota plant in Gibson County, on which construction is underway, has already announced a $500 million expansion even before initial operation has begun. The expansion will eventually create 1,000 jobs, bringing the total future plant work force to 2,300.
The primary plant will be the site for T150 truck production. It has not been disclosed yet as to what vehicle will be produced at the expansion site.
A $1 million training grant has been awarded to Toyota Motor Manufacturing, Indiana, in support of the planned expansion. Additionally, the company will receive tax credits of up to $10.2 million over the next 10 years. Road and rail access, valued at $3.5 million, will be provided by the Indiana Department of Transportation.
The expansion announcement coincided with a trip to Japan and China by the governor and other Indiana leaders.
"With Asian companies in particular, personal relationships always come before business relationships," said Gov. Frank O'Bannon.
"This announcement means that more Hoosiers will have the chance to get training in new technology, problem solving and other skills they'll need to keep good jobs in the next century."
Another automotive company, Navistar International Corp., has announced that its Fort Wayne technical facility will be adding 400 engineers.
For the last year, Navistar hasbeen workingon thestartup design of its Next Generation Vehicles, a line of heavy and medium trucks and buses which are slated to be introduced to commercial users in 2001.
Recently, 75 engineers were recruited and 325 more are planned to be hired. A mix of mechanical, electrical, manufacturing and software engineers will be in place to design all the systems instrumental in bringing the new vehicles to life.
"This is the first new product the company has developed in 20 years," said Rebecca Hayne, spokeswoman for Chicago-based Navistar. "Our company is being revitalized."
Although many companies across the nation are currently finding it difficult to fill engineering positions, Navistar has been successful in its recruitment of Indiana engineers. The company plans to fill as many of the new engineering positions as possible with local residents, as well, according to Hayne.
Innovative steel expansion
For AK Steel, which located a steel processing plant just north of Rockport in December of '96, the location decision was based on the site's proximity to the Ohio River.
"You can build new highways, but you can't build new rivers," said AK Steel spokesman Alan McCoy.
The steel industry requires the assembly of large amounts of raw material which are best transported by barge. Additionally, seven million gallons of water are needed each day for the plant's steel processing and to cool equipment.
In June of '98 the AK Steel facility, called Rockport Works, started production, three months ahead of schedule. The 60,000-horsepower facility is the most powerful cold mill in the world. The tandem mill arrangement allows the simultaneous rolling of both carbon and stainless steel and is the only one of its kind.
When running at full capacity, there will be approximately 400 employees at the plant. A little over 200 will be AK Steel employees and the remainder will be contractors.
Indiana has long been known as steel country as it produces more steel than any other state -- 22 percent of the nation's output.
Metals industry growth
Other expansions taking place in the metals industry include Batesville Tool & Die, which will invest $3.43 million in its Batesville facility. The company, which is a producer of small metal parts for the automotive industry, will create 10 new jobs and retrain 434 employees.
In Indianapolis, Praxair, which manufactures metal and ceramic surface coatings, will hire 88 new employees and retrain 403 current workers. $42.1 million is expected to be invested in the expansion.
The state's central location, low cost of doing business and interstate accessibility (Indiana has more interstate highways than any other state) has shaped the state into a solid basefor business growth. Indiana has grounded itself in successful and winning traditions; both in Hoosier basketball and Hoosier business.
INDIANA FACTS AND CONTACTS
DEMOGRAPHY AND
ECONOMY
Population: 5,864,000
Capital: Indianapolis
Three Largest Cities: Indianapolis, 746,538; Ft. Wayne, 173,717; Evansville, 127,566
GSP: $138.190 billion
Per Capita Income: $22,601
Percentage of Durable Goods Manufacturing Labor Force Organized: 29.6%
Right to Work State: No
1997 Avg. Unemployment Rate: 3.5%
Average Hourly Manufacturing Wage: $15.00
Population Over 25 With Bachelor's Degree or More: Indianapolis, 21.7%; Ft. Wayne, 15.7%; Evansville, 14.6%
EM's Education Quotient for the Largest School Districts: Indianapolis, yellow; Ft. Wayne, green; Evansville, green
Corporate Income Tax Rate: 7.9%
Percentage Employment by Sector: Construction, 4.7%; manufacturing, 23.6%; mining, 0.23%; service industries, 23.9%; transportation/public utilities, 5.0%; wholesale/retail, 24.0%
Primary Industries: Motor vehicles & equipment, industrial machinery & equipment, primary metals, electrical & electronic equipment, fabricated metal products, rubber & plastics products
Targeted Industries: Medical technologies, pharmaceuticals, plastics, distribution, financial services
BUSINESS ASSISTANCE
Major Financial Incentives: Economic Development for a Growing Economy (EDGE) tax credits, Industrial Development Grant Fund, Industrial Development Infrastructure Program, Tax Increment Financing, Capital Access Program, Loan Guaranty Programs, Tax-Exempt Bonds
Worker Training Programs: Training 2000, Job Service Matching System, Indiana Jobs Training Partnership Act, One-Stop Workforce Development Center
Enterprise Zones: 21
Foreign Trade Zones: 7
International Trade Offices and locations: Europe, Canada, China, Mexico, Japan, Taiwan, Korea, Singapore, Brazil
QUALITY OF LIFE
Average Price for a Single-Family Home: Indianapolis, $124,925; Ft. Wayne, $126,268; Evansville, $140,775
Cost of Living Index: Indianapolis, 97.5; Ft. Wayne, 92.1; Evansville, 96.2
Average Round Trip Commute in Minutes: Indianapolis, 20.8; Ft. Wayne, 18.0; Evansville, 15.9
FOR MORE INFORMATION CONTACT
Deborah Coons, Dir. of Mktg. & Communications, Indiana Dept. of Commerce, One North Capitol Ave., Suite 700, Indianapolis, IN 46204, (317) 232-8800, fax (317) 233-5123 |