DEVELOPMENT FINANCING ADVISORY COUNCIL APPROVES NINE ECONOMIC DEVELOPMENT PROJECTS TO CREATE 547 JOBS IN OHIO

FOR IMMEDIATE RELEASE
March 29, 2004

Columbus, OH -- Governor Bob Taft today announced that the Development Financing Advisory Council (DFAC) has approved loans and a bond totaling more than $22 million for nine economic development projects. The loans, which are pending State Controlling Board approval, are expected to create 547 jobs and retain 999 positions.

Haverhill North Coke Company (HNCC), to be located in Green Township (Scioto County), will receive a $2 million direct loan at an interest rate of three percent for a seven-year term to begin operations. HNCC is a wholly owned subsidiary of the Sun Coal & Coke Company, which in turn is a wholly owned subsidiary of Sunoco, Inc. Sun Coal & Coke produces approximately 1.8 million tons of metallurgical coke annually from its two U.S. plants. Its proprietary technology virtually eliminates coke oven emissions and is specifically referenced by name in the U.S. Clean Air Act as the maximum achievable control technology. Sun Coal & Coke operates the only heat recovery coke plant in the world that is used as a source for generating electric power and steam. This project will build a new coke manufacturing plant in Green Township, Scioto County. At design capacity, the plant will process 3.5 million tons of coal a year and produce 2.5 million tons of coke per year. Ohio was in competition with Indiana for this $128.5 million project, which is expected to create 64 jobs within the first three years of operation in the Appalachian region.

Summit County Port Authority, on behalf of Lockheed Martin Corporation, located in Akron (Summit County), will receive a $4.9 million direct loan at an interest rate of three percent for a 20-year term, and a $5 million Ohio Enterprise Bond for a seven-year term. The bond will bear interest at the rate established at the time the bond is sold. Lockheed Martin is principally engaged in the research, design, development, the manufacture and integration of advanced technology systems, products and services. The company is being considered for a contract to deliver a high altitude airship prototype that would be designed and produced at the Akron Airdock facility. The Port Authority plans to acquire and renovate the Airdock facility and certain equipment, and then lease the property to Lockheed Martin. The more than $130 million project is expected to create 93 jobs within the first three years of operation and retain 528 positions.

DRT Mfg. Co., located in Dayton (Montgomery County), will receive a $2.5 million direct loan at an interest rate of three percent for a 15-year term to expand operations. DRT is a company recognized for its high precision manufacturing and engineering capabilities, and manufactures products for the food and beverage can industry. The company plans to purchase a more than 106,000 square-foot manufacturing facility that will also house the company’s offices and research and development area. The $2.5 million project will retain 172 jobs within the first three years of operation.

Consultants in Medical Information Technology (CIMIT), LLC, to be located in Toledo (Lucas County), will receive a $700,000 direct loan at an interest rate of three percent for a five-year term to begin operations. CIMIT is a start-up company that will provide Laboratory Medicine Consultations to the medical community in Northwest Ohio. The program provides pathologist consultants on select in-patient hospital laboratory test results and provides an enhanced consultation product in the outpatient (office-based physician) market. The project will allow CIMIT to develop information technology to support the Laboratory Medicine Consultation program. Ohio was in competition with Michigan for this more than $1 million project, which is expected to create 74 jobs within the first three years of operation.

Fulton Properties of Ohio, L.L.C (Fulton Manufacturing Industries, LLC), located in Brecksville (Cuyahoga County), will receive a $1.25 million direct loan at an interest rate of three percent for a 10-year term to acquire real estate from FCI USA, Inc. Fulton Manufacturing will produce precision, high-speed metal stamped parts for the automotive electronic connector industry. Fulton Manufacturing plans to purchase two existing facilities from FCI USA, Inc. and operate the manufacturing portion of the operation. One of the buildings will be leased back to FCI USA, Inc. to operate its existing technical center. This more than $3.5 million project is expected to create 65 jobs within the first three years of operation and retain 35 positions.

Gensamer Family Partnership (Genmak Steel, LLC), located in Youngstown (Mahoning County), will receive a $1 million direct loan at an interest rate of three percent for a 15-year term to expand operations. Genmak Steel is a steel-servicing firm with its primary business activity being the conversion of coiled steel into steel “blanks”. These blanks are then sold to a variety of industrial producers who use the material to create a variety of products that include: computer storage cabinets, HVAC ductwork and lighting fixtures. Ohio was in competition with Pennsylvania for this $2.4 million project, which is expected to create 41 jobs within the first three years of operation and retain 14 positions.

Sterling China USA, LLC, located in Wellsville (Columbiana County), will receive a $550,000 direct loan at an interest rate of three percent for a seven-year term to begin operations. The company produces dishware for the institutional markets that include hotels, restaurants and hospitals. Sterling China USA plans to purchase machinery and equipment from the defunct Sterling China Company, and operate from a facility that it will lease from the Columbiana County Port Authority. The $1.2 million project is expected to create 190 jobs within the first three years of operation.

City of Lorain, located in Lorain County, will receive a $2.37 million Urban Redevelopment loan at no interest for five years increasing in year six to a rate of 3.25 percent for the balance of the 15-year term. The $5.9 million project is to purchase land, demolish several vacant buildings and make infrastructure improvements in an effort to expand the Colorado Industrial Park (CIP). Once complete, the property would be suitable for new development.

Morgan County CIC on behalf of Miba Bearings US, LLC, located in McConnelsville (Morgan County), will receive a $2 million direct loan at an average interest rate of two percent for a 10-year term to expand operations. Miba manufactures high performance bearings for diesel and gas engines. The CIC plans to purchase a 292,000 square-foot building on more than 20-acres and then lease the property to Miba Bearings USA. Previously the company occupied approximately half of the building. This more than $3.6 million project is expected to create 20 jobs within the first three years of operation and retain 250 positions in this Appalachian community.


The Direct Loan program provides loans for land and building acquisition, expansion or renovation, and equipment purchase. The Urban Redevelopment Loan program assists in removing development barriers from urban core property so that private sector job opportunities can be created. The Ohio Enterprise Bond Fund provides funding for land and building acquisition, construction, expansion or renovation, and equipment purchases for commercial or industrial projects between $1.5 million and $10 million.