Recordpub.com - Ravenna, Rootstown plants to reopen General Aluminum gets state grant, will bring back about 200 jobs

By Colin McEwen

Record-Courier staff writer

The closure of Ravenna Aluminum in Ravenna and Rootstown last year did not go unnoticed by government officials in Columbus.

With some help from the state, the doors of the foundry are re-opening, with new ownership preparing to bring back almost half of the 461 non-union jobs that were lost earlier this year.

General Aluminum Chairman Ed Crawford said Monday that limited production could begin before the end of the year. Cars have been seen in the parking lots. Hiring activities have begun, and a ribbon-cutting ceremony at the Rootstown site is scheduled for next month.

"We are not looking at alternative sites," Crawford said. "We're very pleased with the response of the state and of all the officials. It is an endorsement of job creation and re-creation in the future."

This summer, the company purchased the assets of Ravenna Aluminum and plans to re-establish operations in two phases, first in Rootstown and then in Ravenna.

In Columbus, the State Controlling Board has signed off on additional funding for the reopening the facilities in Portage County. The lawmaker panel, without comment, released a $300,000 rapid outreach grant, for use by Parks-Ohio and its General Aluminum subsidiary to purchase machinery and equipment.

The total cost of the acquisition, including "milling machines, mold gassing systems, shell core machines, melting furnaces, squeeze molding machines, sanders, drills and related equipment," is about $3.5 million, with the company committed to covering the balance, according to documents.

The project would create 200 full-time jobs with average hourly wages of $13 per hour. Ravenna Aluminum ceased operations late last year, closing facilities in Rootstown and Ravenna and leaving 461 people out of work. General Aluminum manufactures automotive parts, including engine, transmission, suspension and brake components.

The total project will cost about $7.85 million, according to documents. State officials already have OK'd tax credits for the project and a $4 million low-interest loan.

Ohio was competing with Indiana and Mississippi for the project, according to documents.

"This project is of extreme importance to the communities of Ravenna and Rootstown, where significant layoffs occurred in 2007," according to documents. "The company plans to acquire the assets and bring business back to historic levels (in excess of $75 million annual revenues with over 450 employees)."

Ravenna Aluminum, established in 1987, closed both facilities -- at 706 N. Walnut Street in Ravenna and at 5159 S. Prospect St. in Rootstown -- in January. The closure was blamed on "economic hardships."

Ravenna Mayor Kevin Poland, who has worked for months lobbying local and state governments for assistance, said the news of the re-opening is good news for the area because of the much-needed job creation it will provide.

"I think it's a great opportunity," he said. "I'm certainly thankful that General Aluminum has taken these facilities over and has agreed to keep these jobs here -- especially in these tough times.

Poland said while he worked to bring the jobs back, "the real credit goes" to Ohio Department of Development and Lt. Gov. Lee Fisher.

"This really is great news," he said.

Marc Kovac of the Record-Courier Capital Bureau contributed to this report.