Sunday, July 01, 2007

GM will invest nearly $400M in two northwest Ohio factories

Saturday, May 19, 2007
GM will invest nearly $400M in two northwest Ohio factories
Associated Press

TOLEDO, Ohio -- General Motors Corp. announced two major investments Friday in a pair of northwest Ohio plants that will maintain hundreds of jobs.

The governor says the announcements will give auto workers hope and show that Ohio still has a future in the industry despite its gloomy outlook.

"We will not give up on the manufacturing sector of our economy," Gov. Ted Strickland said.

GM will spend $332 million to build a new six-speed, front wheel drive transmission at its Toledo plant, securing 600 jobs. It also will invest $61 million at its Defiance plant to make aluminum engine blocks, retaining 120 jobs.

Workers at the plants celebrated the news Friday, even though the investments won't create additional jobs. The company is going through a restructuring that has cut 35,000 production jobs.

Ohio's economic development office put together a package of grants and loans to spur expansion at five GM plants in Ohio, including Toledo and Defiance, Lt. Gov. Lee Fisher said.

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