LAFAYETTE, Ind. (Jan. 25, 2012) - Alcoa, Inc. (NYSE:AA), a fully integrated producer of aluminum used in beverage cans, aircraft and window frames, announced plans today to expand its operations here, creating up to 75 new jobs by 2013.
The company will invest more than $90 million to expand its aluminum lithium capacity and capabilities and construct an approximately 115,000 square-foot facility adjacent to the company's Lafayette plant to meet growing demand in the aerospace market for its newest alloys. Initial facility construction has already begun with plant production expected to begin by the end of 2014. When completed, the facility will produce more than 20,000 metric tons of aluminum lithium and be capable of casting round and rectangular ingot for rolled, extruded and forged aerospace applications.
"Alcoa's expansion strengthens Indiana's reputation of manufacturing excellence," said Governor Mitch Daniels. "We are grateful that this global manufacturing leader continues to find the Hoosier State the most advantageous state for growth."
Founded more than 120 years ago, Alcoa employs approximately 61,000 people in more than 200 locations in 31 countries. In Indiana alone, the company employs more than 3,200 associates at four locations across the state. In 2011, the company had overall sales of $25 billion with its aerospace businesses producing approximately $3 billion in revenue.
"The demand we are seeing for aluminum lithium is an excellent example of the Alcoa technical advantage in action and is the result of our continued leadership in aerospace alloy development across our Alcoa aerospace businesses," said Eric Roegner, president of Alcoa Forged and Extruded Products. "When completed, our Lafayette aluminum lithium facility will be the premier operation in the world, capable of making the widest breadth of products in the most efficient manner - there will be nothing like it anywhere."
The Indiana Economic Development Corporation offered Alcoa, Inc. up to $650,000 in conditional tax credits and up to $200,000 in training grants based on the company's job creation plans. These tax credits are performance-based, meaning until Hoosiers are hired, the company is not eligible to claim incentives. The city of Lafayette will consider additional property tax abatement at the request of the Greater Lafayette Commerce.
"This is a milestone announcement for Lafayette, a significant investment, not only in new construction and capital expenditures, but, even more important, in our people, our workforce," said Lafayette Mayor Tony Roswarski. "Jobs-good jobs-are the heartbeat of a community. With this news, Lafayette's heart is indeed strong and healthy, with Alcoa a contributor to that since it first began manufacturing in our community in 1938."
Alcoa is the world's leading producer of primary and fabricated aluminum, as well as the world's largest miner of bauxite and refiner of alumina. In addition to inventing the modern-day aluminum industry, Alcoa innovation has been behind major milestones in the aerospace, automotive, packaging, building and construction, commercial transportation, consumer electronics and industrial markets over the past 120 years. Among the solutions Alcoa markets are flat-rolled products, hard alloy extrusions and forgings, as well as Alcoa® wheels, fastening systems, precision and investment castings and building systems in addition to its expertise in other light metals such as titanium and nickel-based super alloys. Sustainability is an integral part of Alcoa's operating practices and the product design and engineering it provides to customers. Alcoa has been a member of the Dow Jones Sustainability Index for 10 consecutive years and approximately 75 percent of all of the aluminum ever produced since 1888 is still in active use today. Alcoa employs approximately 61,000 people in 31 countries across the world. More information can be found at www.alcoa.com.
Created by Governor Mitch Daniels in 2005 to replace the former Department of Commerce, the Indiana Economic Development Corporation is governed by a 12-member board chaired by Governor Daniels. Dan Hasler serves as the chief executive officer of the IEDC.
The IEDC oversees programs enacted by the General Assembly including tax credits, workforce training grants and public infrastructure assistance. All tax credits are performance-based. Therefore, companies must first invest in Indiana through job creation or capital investment before incentives are paid. A company who does not meet its full projections only receives a percentage of the incentives proportional to its actual investment. For more information about IEDC, visit www.iedc.in.gov.
Kevin Lowery (Alcoa) - 412.553.1424 or firstname.lastname@example.org
Katelyn Hancock (IEDC) - 317.234.2294 or email@example.com
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