Pictured in front of the Dowding Industries employees:  Representative Mike Simpson, Chris Dowding, Jeff Metts, Mayor Jamie Davidson, MEDC representative Jim Donaldson.

May 15, 2007  

Governor Jennifer M. Granholm today announced Dowding Machining LLC, a new venture of Dowding Industries Inc, will invest $7.1 million to build a new manufacturing facility adjacent to the Dowding Industries operations in Eaton Rapids. The project will create 358 new Michigan jobs, including 200 directly by the company. Assistance offered through the Michigan Economic Development Corporation helped convince the company to choose Michigan instead of a competing site in Iowa.

"This new manufacturing facility will create good jobs for Michigan workers and anchor Dowding's presence in Eaton Rapids for years to come," Granholm said. "The company's decision to grow in Michigan over a competing site in Iowa is evidence of Michigan's ability to attract jobs and investment in today's 21 century marketplace."

Based on the MEDC's recommendation, the Michigan Economic Growth Authority board today approved a state tax credit valued at more than $1.5 million over 10 years to win the company's investment. The city of Eaton Rapids is considering a 12-year abatement worth $666,254 to support the project.

"The state and City of Eaton Rapids partnered to deliver a strong business case to win this significant investment and hundreds of new jobs to the area," MEDC President and CEO James C. Epolito said. "I'm pleased we were able to help a Michigan manufacturer grow in Michigan."

An economic analysis conducted by the MEDC estimates that increased economic activity created by the new facility will generate an additional 158 indirect Michigan jobs, in addition to the 200 created directly by the company. The project is expected to generate more than $107 million in personal income for Michigan workers over the life of the tax credit.

"Dowding Machining is pleased to have worked with the MEDC to place our new business opportunity in Michigan," Dowding Machining Vice President Chris Dowding said. "We feel God has blessed us with this new product opportunity and we are excited that Michigan has worked with us in placing this business locally rather than in an alternative location in Iowa. We are elated to join Demmer, Spartan Motor and other companies that are placing jobs in Michigan and creating employment opportunities in our local communities."

The Dowding Machining facility is one of six economic development projects the governor announced today. In all, they are expected to create and retain a total of 5,420 Michigan jobs.

Eaton Rapids-based Dowding Industriesis a precision short to medium run manufacturer of progressive die stampings, metal fabrications, and welded assemblies. Dowding also specializes in the custom laser cutting, prototyping, machining, and component part double disk grinding processes. The company employs approximately 220 at its facility in Eaton Rapids and approximately 20 at its facility in Hiawatha, Iowa. Its newest venture, Dowding Machining, will focus on machining transmission housings, components and platforms used in the assembly of wind turbines.

"We couldn't be more pleased that Dowding Industries, a family owned Michigan manufacturer has chosen to expand their business and create new jobs in Eaton Rapids," Eaton Rapids Mayor Jamie Davidson said. "It was a great example of partnership between industry and state and local government. These new jobs help our city and will benefit the entire Mid-Michigan region."

In her 2007 State of the State address, Granholm emphasized the importance of making Michigan a global economic powerhouse in the 21st century. Since January 2005, the governor and the MEDC have announced the creation or retention of more than 188,000 jobs as a result of targeted assistance provided by the MEDC.

The Michigan Economic Development Corporation, a partnership between the state and local communities, promotes smart economic growth by developing strategies and providing services to create and retain good jobs and a high quality of life. For more information on the Michigan Economic Development Corporation's initiatives and programs, visit the Web site at www.michigan.org.

Mayor Davidson discusses how Dowding's expansion will benefit Eaton Rapids

Mayor Jamie Davidson and Representative Mike Simpson field questions from reporters