Joint Venture Bringing Jobs to Jeffersonville
Subscriber Benefit
As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowSteel processors from Kentucky and Michigan have chosen Indiana for a joint venture. Delaco Kasle Processing Indiana will locate its operations in Jeffersonville and expects to employ more than 100 by 2017. The new company plans to be in the former Kasle Metal Processing facility at the Port of Indiana – Jeffersonville.
May 28, 2014
News Release
Jeffersonville, Ind. — Delaco Kasle Processing Indiana, LLC (DKP Indiana), a processor of exposed and unexposed aluminum and steel blanks, announced plans today to locate its operations here, creating up to 105 new jobs by 2017.
“Indiana has built a business climate designed to support development and encourage enterprise,” said Eric Doden, president of the Indiana Economic Development Corporation. “That very business climate is attracting companies from across the nation like DKP Indiana that recognize the Hoosier State as the best location available to put their growth plans in action. With lower expenses and the best workforce around, Indiana has earned its reputation as a state that works.”
Earlier this month, the Diez Group and Steel Technologies LLC announced a joint venture that included Kasle Metal Processing, which had operated in Jeffersonville since 2004. The Diez Group and Steel Technologies will invest $14.28 million to upgrade and expand the existing 120,000 square-foot former Kasle Metal Processing facility at the Port of Indiana – Jeffersonville, which will grow to 226,000 square-feet by summer 2015. DKP Indiana has already retained 71 former Kasle Metal Processing employees.
“We are very pleased to partner with Steel Technologies to expand this outstanding facility in Jeffersonville,” said April Diez, chairman of the Diez Group. “We appreciate the support of the state of Indiana, and we look forward to growing this facility. The area’s skilled workforce and central location will help the Diez Group and Steel Technologies combine their expertise to open new markets in the South and Midwest.”
Serving the automotive, appliance and agriculture industries, DKP Indiana processes aluminum and steel coils and blanks. A minority- and woman-owned business, the company plans to add new production lines to its Jeffersonville facility, which will be operational next summer. The Diez Group, which is part of the Delaco Steel family of businesses, is based in Dearborn, Mich. and currently operates additional facilities in Michigan, New York and Tennessee. Louisville-based Steel Technologies, which is a joint venture between Nucor Corporation and Japan-based Mitsui & Co., is a flat-rolled steel processor with 25 company-owned and joint venture facilities across the United States, Canada and Mexico.
The Indiana Economic Development Corporation offered Delaco Steel Corporation up to $750,000 in conditional tax credits and up to $100,000 in training grants based on the company's job creation plans. These tax credits are performance-based, meaning until Hoosiers are hired, the company is not eligible to claim incentives. The city of Jeffersonville will consider additional incentives at the request of One Southern Indiana.
“I want to thank the Diez Group and Steel Technologies for having confidence in our city,” said Jeffersonville Mayor Mike Moore. “Jeffersonville has become the destination place for growing businesses. The Diez Group’s and Steel Technologies’ partnership with DKP Indiana is further proof our business-friendly approach continues to pay dividends for our community.”
Indiana’s unemployment rate fell to 5.7 percent in April, decreasing 2.1 percent over the last year, the third-largest decrease in the nation. In 2014 alone, Indiana’s labor force has added 37,000 Hoosiers.
About Diez Group
The Diez Group is part of the Delaco Steel family of businesses. The Delaco Steel Corporation is based in Dearborn, Michigan, and it has several locations in Michigan, New York, Tennessee and now Indiana. The company is the largest Hispanic and woman-owned supplier and manufacturer of aluminum and steel coils and blanks in the United States. For additional information, please visit www.thediezgroup.com.
About Steel Technologies LLC
Steel Technologies, headquartered in Louisville, Kentucky, is one of the leading steel processors in North America and leverages its broad geographic network of operations to deliver value-added products and services to customers. Steel Technologies is owned as a 50-50 joint venture between Nucor Corporation, one of North America’s leading manufacturer of steel and steel products, and Mitsui & Co. (U.S.A.), Inc., a wholly owned subsidiary of Mitsui & Co., Ltd., a diversified global investment and service enterprise based in Tokyo, Japan. More information about Steel Technologies can be found at www.steeltechnologies.com.
About IEDC
Created in 2005 to replace the former Department of Commerce, the Indiana Economic Development Corporation is governed by a 12-member board chaired by Governor Mike Pence. Victor Smith serves as the Indiana Secretary of Commerce and Eric Doden is the president of the IEDC.
The IEDC oversees programs enacted by the General Assembly including tax credits, workforce training grants and public infrastructure assistance. All tax credits are performance-based. Therefore, companies must first invest in Indiana through job creation or capital investment before incentives are paid. A company who does not meet its full projections only receives a percentage of the incentives proportional to its actual investment. For more information about IEDC, visit www.iedc.in.gov.
Source: Indiana Economic Development Corp.
May 28, 2014
News Release
Jeffersonville, Ind. — One Southern Indiana (1si) and the City of Jeffersonville announce today a project by the Diez Group to partner with Steel Technologies to expand current operations in Southern Indiana. The companies recently entered into a joint venture that will result in additional business and expansion at the former Kasle Metal Processing facility at 5146 Maritime Road at the Port of Indiana-Jeffersonville.
The new business, Delaco Kasle Processing Indiana, LLC (DKP Indiana), will process aluminum and steel coils and blanks for the automotive, appliance and agricultural industries.
Through the coordination of 1si, officials representing the new joint venture will appear before the Jeffersonville Redevelopment Commission at 6 p.m. today in Jeffersonville City Hall, which will determine the project’s eligibility to request local tax incentives at a City Council meeting on June 2, 2014.
Upon the approval of tax abatement by the Jeffersonville City Council, the Diez Group and Steel Technologies could potentially invest up to $14,280,000 to upgrade and expand the existing 120,000 square-foot facility at the port. When complete, the resulting 226,000 square-foot facility will be a premier, high-quality processor of exposed and unexposed aluminum and steel blanks. If the project moves forward as planned, the company plans to retain 71 jobs already at the facility at an estimated annual payroll of $2,510,560 and add 34 new jobs at an estimated additional annual payroll of $1,202,240 by 2017.
“This is our second joint venture with Steel Technologies, and we believe this venture brings more value to our existing and new customers by combining our strengths in the South,” said April Diez, chairman of The Diez Group. “We are very pleased to work with the Diez Group to expand our facility in Jeffersonville, Indiana,” said Mike Carroll, president and CEO of Steel Technologies. “We appreciate the support of One Southern Indiana and the City of Jeffersonville, and we look forward to growing this business.”
“I want to thank the Diez Group and Steel Technologies for having confidence in our city,” said Mike Moore, mayor of the City of Jeffersonville. “Jeffersonville has become the destination place for growing businesses. The Diez Gro
