8/17/2006
Media Contact:
John Walker, The Indy Partnership, 317.464.5413
Justin Ohlemiller, Mayor's Office, 317.327.3690 |
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Business expansion, both large and small, mark major economic surge in 2006
Homegrown, westside business announces expansion
as Mayor outlines successful first six months in '06
INDIANAPOLIS – Growth and investment by several smaller local businesses, as well as major expansions by two of the city's largest employers, have added up to a very successful first half of 2006, Mayor Bart Peterson announced today.
Through June 30 of this year, city officials and representatives of Indianapolis Economic Development have facilitated 26 projects that will create more than 2,200 new jobs and retain 11,800 positions. The 2006 half-year total exceeds the 1,890 new jobs committed to during all of 2005, which economic development officials considered one of their most successful years.
Job numbers for 2006 have been bolstered by two significant expansions announced this spring. Industry leaders FedEx Express and Rolls-Royce rolled out sweeping, multi-million dollar expansions that will retain a combined 8,000 positions and create up to 1,400 total jobs. While these large-scale projects will have a far-reaching impact on the local economy, the Mayor said the success and growth of smaller, locally-based businesses has played an equally vital role in Indianapolis' job surge in 2006.
The Mayor touted companies like Applied Composites Engineering, which today announced plans to make a significant investment to expand its headquarters on the westside and increase its workforce of 30 people by more than 50 percent.
"It's deals like FedEx and Roll-Royce that grab headlines – and for good reason since these companies are two of the largest employers in our city. But we will never lose our focus on supporting the growth of our homegrown businesses that are a huge driver of our local economy," Mayor Peterson said. "Companies like Applied Composites are vital to diversifying our economy and creating the type of quality, good paying jobs that have us outpacing our Midwestern peer cities in job growth."
Founded in 1982, Applied Composites has grown from its roots in motorsports -- producing race car chassis and other components -- into developing products for the aviation, aerospace and sporting goods industries.
To support their continued expansion, the City of Indianapolis and the Metropolitan Development Commission has approved a five-year tax abatement worth approximately $134,700 in exchange for Applied Composite's commitment to create 20 new jobs while retaining 30 positions, and investing more than $2 million in their westside headquarters.
"Indianapolis has a skilled workforce, a low cost of doing business and excellent incentive programs that have helped us grow our business," said company president Leigh Sargent. "We hope to do more announcements like this in the future."
Another important piece of the first-half economic successes in 2006 has been the type of jobs created and retained, according to Indianapolis Economic Development Executive Director Jeb Conrad. Along with Applied Composites' commitment to create and retain jobs at $18 and $15 per hour, Conrad pointed to two other examples of companies expanding in high-growth industries and creating high-wage, high-skilled jobs:
- Strand Labs Strand Analytical Laboratories – The locally-based DNA testing company unveiled plans this year to invest $2 million and create 52 new jobs that pay $33 per hour.
- GVS Filter – The international company that specializes in the advanced manufacturing of filter components for the medical industry announced plans to invest more than $9 million at their United States headquarters in Indianapolis and create 50 jobs paying $22 per hour.
"To continue moving our economy forward, the type of jobs we are creating is every bit as important as the number of positions created," Conrad said. "Our focus is diversifying our economy and focusing on high-growth industries that pay good wages and offer great potential for even more future growth."
Two recent reports are further indications that the city's economic strategy is working and has positioned the city as the preeminent job growth leader in the Midwest:
- The Federal Reserve Bank of Chicago released a report in June stating that the Indianapolis metropolitan area outperformed other Midwestern cities and was the only large city tracked by the study to experience job growth between 2000 – 2005.
- The Brookings Institution in Washington, D.C. announced in July that Indianapolis has had the highest rate of job growth of 25 major metropolitan areas in the Midwest over the last decade.
Earlier this summer the Indianapolis Private Industry released findings based on national research that Indianapolis is growing jobs in high-growth industries at a faster rate than state and national averages.
About IED
Indianapolis Economic Development is a member of The Indy Partnership, a privately-funded, not-for-profit organization dedicated to strengthening economic and job growth in the 11-county Indianapolis Region – Boone, Hamilton, Hancock, Hendricks, Johnson, Madison, Marion, Monroe, Morgan, Shelby and Tippecanoe counties. Located in Indianapolis, The Indy Partnership has a full-time professional staff ready to assist clients interested in business expansion or relocation in the Indianapolis Region. More information is available at www.indypartnership.com.
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Applied Composites - Mid-year Review Report Card
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