JOB CREATION TAX CREDITS APPROVED FOR BUSINESS EXPANSION PROJECTS TO CREATE 924 JOBS FOR OHIOANS

FOR IMMEDIATE RELEASE
February 28, 2005

Columbus, OH -- Governor Bob Taft today announced that the Ohio Tax Credit Authority has approved Job Creation Tax Credits for 14 companies involved in business location or expansion projects that if located in Ohio, are expected to create 924 jobs and retain 998 positions.

The Authority awarded tax credits to:

Arch Aluminum and Glass Company, Inc., to be located in Grove City (Franklin County), has been awarded a 50 percent tax credit for a five-year term to expand its manufacturing operation. The value of the tax credit will be $35,758. Arch Aluminum manufactures decorative and laminated glass, which is used in a variety of architectural applications and for the home and business markets. The company currently operates from a site in Columbus that has no room for expansion. The proposed project includes the relocation of the company’s current manufacturing operation to a 78,750 square-foot leased facility in Grove City. Ohio was in competition with Indiana, Iowa, Wisconsin and Michigan for this more than $2.2 million project, which is expected to retain 61 positions and create 25 jobs within the first three years of operation.

ATS Ohio, Inc., to be located in Orange Township (Delaware County), has been awarded a 50 percent tax credit for a five-year term to expand its manufacturing operations. The value of the tax credit will be $238,125. ATS manufactures and designs advanced factory automation systems, custom automation equipment, standard automation products and turn-key assembly machinery. The proposed project includes the purchase of a 37,000 square-foot facility in close proximity to the company's existing facility. The company investigated placing this project at one of their seven other facilities in the U.S. or at its headquarters in Ontario, Canada. This more than $2.3 million project is expected to retain 250 positions and create 50 jobs within the first three years of operation. Other state assistance committed to this project includes a $50,000 Ohio Investment and Training Program grant.

DeCrane Aircraft Holdings, Inc., to be located in Westerville (Franklin County), has been awarded a 60 percent tax credit for a seven-year term to relocate its headquarters operation. The value of the tax credit will be $683,522. DeCrane manufactures sub-assemblies and components for the business, head-of-state and VIP jet markets and is a provider of systems integration services. The proposed project includes the relocation of the company’s corporate headquarters operation from California to Westerville. The $495,000 project is expected to create 31 jobs within the first three years of operation.

Diagnostic Hybrids, Inc., located in Athens (Athens County), has been awarded a 75 percent tax credit for a 10-year term to expand operations. The value of the tax credit will be more than $1.1 million. DHI develops and manufactures cell cultures and genetically engineered cell lines used by laboratories and hospitals to detect various infectious diseases. DHI maintains a partnership with Ohio University, which has been a major factor in its success. Ohio was in competition with West Virginia for this $1.5 million expansion project, which is expected to retain 140 positions and create 100 jobs within the first three years of operation. Other state assistance committed for this project includes a $200,000 Worker Guarantee Program grant, a $100,000 Business Development (412) grant, a $300,000 Roadwork Development (629) grant, an $8 million Ohio Enterprise Bond and a $4 million Research and Development Investment Loan.

Efficient Channel Coding, Inc., to be located in either Garfield Heights or Cuyahoga Heights (Cuyahoga County), has been awarded a 60 percent tax credit for a six-year term to relocate and expand operations. The value of the tax credit will be $466,837. ECC manufactures equipment that provides Internet Protocol (IP) based satellite connectivity, with products ranging from full hardware and software systems to microchips. The proposed project includes relocation and consolidation of the company’s headquarters, manufacturing and R&D operations from its current Brooklyn Heights location to a new facility, where it plans to expand development and support capabilities. The new facility will eliminate the need to include third-party contractors in the development, testing or final packaging of products. This project is expected to retain 44 positions and create 36 jobs within the first three years of operation.

First Solar, LLC, located in Perrysburg Township (Wood County), has been awarded a 65 percent tax credit for a five-year term to expand operations. The value of the tax credit will be $784,184. First Solar operates a research line capable of producing full-sized, thin film solar modules for the conversion of sunlight into electricity. The company is proposing a 200,000 square-foot expansion to house its state-of-the-art research and development design center and a full-scale production plant. This $71.5 million project is expected to retain 180 positions and create 200 jobs within the first three years of operation. Other state assistance offered to the company includes a $15 million Research and Development Investment Loan and a $30,000 Worker Guarantee Program grant.

GED Integrated Solutions, Inc., located in Twinsburg (Summit County), has been awarded a 55 percent tax credit for a seven-year term to expand the company’s manufacturing operations. The value of the tax credit will be $147,791. GED designs, manufacturers, and services equipment and software used in the production of residential vinyl and aluminum window and door frames. To accommodate new growth, the company proposes to consolidate the operations of its three Twinsburg facilities into a single location. Ohio was in competition with New York for this $1 million project, which is expected to retain 140 positions and create 30 jobs within the first three years of operation. Other state assistance committed to this project includes a $60,000 Ohio Investment and Training Program grant.

Helios Coatings, Inc., located in Canton (Stark County), has been awarded a 55 percent tax credit for a six-year term to begin operations. The value of the tax credit will be $235,380. Helios is a start-up manufacturing operation that holds a world-wide exclusive license to provide an environmentally friendly, durable, decorative metal coating to the automotive and industrial markets. The product will primarily be applied to automotive wheels and trims. The proposed project includes the establishment of company operations in the former Danner Press building. This more than $4.3 million project is expected to retain one position and create 80 jobs within the first three years of operation.

Homesite Group, Inc., to be located in Akron (Summit County), has been awarded a 70 percent tax credit for a six-year term to begin operations. The value of the tax credit will be $609,262. Homesite provides insurance solutions for customers in the homeowners market. The company plans to create a call center within a 26,000 square-foot leased property at 520 South Main Street. Ohio was in competition with New York and Massachusetts for this $1.35 million project, which is expected to create 200 jobs within the first three years of operation.

Northlich, Inc., located in Cincinnati (Hamilton County), has been awarded a 55 percent tax credit for a five-year term to expand its headquarters and service operations. The value of the tax credit will be $130,028. Northlich is a communications company that plans, creates, and places advertising in various media such as television, radio, outdoor, newspaper and magazines. The company provides communications services on a local, regional and national basis, and has an extensive client list. Ohio was in competition with Kentucky for this more than $987,000 project, which is expected to retain 95 positions and create 25 jobs within the first three years of operation. Other state assistance offered to the company includes a $25,000 Ohio Investment and Training Program grant.

Plastic Recycling Technology II, Inc., to be located in Van Wert (Van Wert County), has been awarded a 50 percent tax credit for a five-year term to establish operations. The value of the tax credit will be $54,398. Plastic Recycling Technology is a company that recycles plastic films, buckets, bottles, bumpers and automotive parts through an extrusion process that converts the raw material into plastic pellets and ground plastics. The company proposes to lease 105,000 square feet of factory space and 10,000 square feet of office space and purchase machinery and equipment. This $2 million project is expected to retain two positions and create 30 jobs within the first three years of operation. Other state assistance offered to the company includes a $15,000 Ohio Investment and Training Program grant.

The Taylor Chair Company, located in Bedford (Cuyahoga County), has been awarded a 50 percent tax credit for a five-year term to expand operations. The value of the tax credit will be $56,912. Taylor Chair is a seven generation, family-owned company that designs and manufactures office furniture and upholstery. The company plans to purchase 10-12 acres of a former brownfield site, located on Egbert Road in Bedford, where it will construct a 90,000-100,000 square-foot manufacturing and headquarters operation and a 10,000-15,000 square-foot office facility. This $4.9 million project is expected to retain 39 positions and create 31 jobs within the first three years of operation. Other state assistance committed to this project includes an $859,000 Roadwork Development (629) grant and a $3.65 million Ohio Enterprise Bond.

Ventra SPD Corp., to be located in Toledo (Lucas County), has been awarded a 55 percent tax credit for a five-year term to establish a component assembly facility. The value of the tax credit will be $281,995. Ventra will supply Chrysler with automobile parts, in sequence, for its Toledo assembly line. The company plans to lease a facility from where it will sequence, store and ship auto bumpers upon request from Chrysler. Ohio was in competition with Michigan for this $400,000 project, which is expected to create 60 jobs within the first three years of operation.

Wiley Organics, Inc. dba Organic Technologies, located in Tuscarawas Township (Coshocton County), has been awarded a 55 percent tax credit for an eight-year term to expand its nutraceutical product manufacturing operation. The value of the tax credit will be $190,136. Organic Technologies manufactures and processes food additives, nutraceuticals and pharmaceutical intermediates. The proposed project involves the expansion of the company’s existing manufacturing facility and the acquisition of new machinery and equipment. Organic Technologies plans to focus on the purification of phytosterol food additives and other phytosterol-derived food additives. This more than $2.6 million expansion project is expected to retain 46 positions and create 26 jobs within the first three years of operation. Other state assistance committed for this project includes a $70,000 Ohio Investment and Training Program grant, a $900,000 Direct Loan, and a $50,000 Roadwork Development (629) grant.


The Job Creation Tax Credit is a refundable tax credit against the business corporate franchise or income tax. The credit equals a percentage of new state income tax withheld on new, full-time employees in Ohio. Some of the additional state assistance is contingent upon the approval of the State Controlling Board.