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Toyota Boshoku America produces seats, door trim, recliners, fabrics and straps for customers such as Toyot a and General Motors.

Toyota Boshoku America, Inc., a major manufacturer of automotive interior systems, has announced plans to move its North American headquarters from Michigan to Erlanger, Ky.

Sunao Yamamoto, president of Toyota Boshoku America, said the proximity to Toyota Motor Manufacturing North America’s facilities and the two companies’ joint manufacturing plants in the state were primary reasons for the move.

The company will occupy 23,000 square feet of office space in the Dolwick Business Center and anticipates begin operations in its new home office by August. The company plans to hire 100 employees over the next two years and an option for additional space in the building has already been secured.

Toyota Boshoku America will maintain its research and development functions in Michigan and will continue to strengthen and expand its operation there.

Vineyards and wineries have proliferated across the Bluegrass State as farmers work to find ways of becoming less dependent on tobacco crops.

Kentucky’s effort to diversify its agricultural industry has been recognized as one of the 2007 Top 50 Government Innovations by the Ash Institute for Democratic Governance and Innovation at Harvard University’s John F. Kennedy School of Government.

The Kentucky Agricultural Development Fund was created to provide capital for innovative projects that would help diversify the state’s tobacco-dependent economy. Since being put into place in the spring of 2001, the fund has invested more than $233 million into nearly 3,000 local and state projects designed to increase farm income and create sustainable farm enterprises.

Recipients of the 2007 Top 50 Government Innovations are now semifinalists for the Innovations in American Government Award and are eligible to win one of seven $100,000 grants. The Top 50 programs were selected from nearly 1,000 applicants across a variety of policy areas, including education, the environment, criminal justice, health care, management, and community development. The top 50 were chosen for their novelty and creativity, effectiveness at addressing significant issues and their potential to be replicated by other jurisdictions.

Solectron Global Services, which manufactures and repairs electronic equipment, has moved into a new, larger facility in Louisville that will enable the company to expand its workforce.

California-based Solectron currently employs some 1,300 workers at its Louisville after-market services center, which repairs cellular phones, computer equipment and other electronics. The company has more than 50,000 employees at locations in 20 countries, with Louisville being the largest site in the Solectron Global Services network.

Company officials say they expect to hire 700 employees for the Louisville facility over the course of the coming year. New jobs created as part of this expansion include skilled technical and materials management positions.

Prior to moving to the new facility, Solectron operated two separate facilities in Louisville, which had a combined total capacity of 310,000 square feet. The new larger facility enables the company to streamline operations under one roof.

Rachid Mehdaova, general manager of Solectron’s Louisville facility, said a great deal of the company’s growth in Kentucky can be attributed to its proximity to UPS and the Louisville International Airport, which provides easy access and flexibility for shipping materials.

Psion Teklogix's newest vehicle-mount computer is a full-featured computer that comes in a compact, lightweight frame, making it ideal for vehicles with limited mounting options.

Psion Teklogix, a high-tech company that produces mobile computers, has announced plans to expand its operations in Northern Kentucky.

The company, which is currently headquartered in Erlanger, is building a 60,000-square-foot building in Riverview Business Park in nearby Hebron.

The new space will provide office space for the company’s sales, accounting, marketing and U.S. government sales operations and will accommodate the additional jobs expected as a result of the expansion.

Psion Teklogix first opened its Kentucky office some 20 years ago with three employees. The company now employs a staff of 140 and expects to add another 80 positions over the next five to 10 years.

The revitalization of the Northern Kentucky reverfront is indicative of the change and growth being seen throughout the area.

The Louisville/Southern Indiana and Northern Kentucky/Greater Cincinnati areas are among “America’s 50 Hottest Cities,” according to a recent report released by Expansion Management, a business magazine for executives of companies actively looking to expand or relocate their facilities.

The list is based on a survey of prominent industry site location consultants conducted by Expansion Management. The consultants were asked to identify which cities, out of the nation’s 362 metropolitan statistical areas (MSAs), their clients find most attractive when actually selecting an expansion or relocation site and why these cities are appealing. The respondents selected their top city choices for relocating and expanding manufacturing companies, taking into consideration such factors as the business climate, workforce quality, operating costs, incentive programs, and the ease of working with local political and economic development officials.

“Unlike our other annual economic and demographic rankings, the annual Hot Cities poll reflects the perceptions of professional site location consultants, who play a key role in helping companies select locations for future facility expansions,” said Bill King, chief editor of Expansion Management.

“These cities have a built-in advantage when companies look to site a new manufacturing or distribution facility, or headquarters operations,” he added.

“They are well-prepared to attract and retain businesses. They have logistical advantages, a high quality of life, an available work force, and favorable tax and political climates.”

Expansion Management is distributed to more than 45,000 CEOs, vice presidents, directors and other officers of companies that have indicated they are considering expanding into new geographic areas.

Bendix Spicer produces brakes for clients such Mack Trucks Inc.

Bendix Spicer Foundation Brake LLC has announced that it is consolidating its Glasgow and Frankfort operations and will move the combined unit to Bowling Green.

Ohio-based Bendix Spicer, which is a joint venture of Bendix Commercial Vehicle Systems and Dana Corp., currently produces drum brakes in Glasgow, where it operates in a Dana facility. The company produces air disc brakes at the Bendix Commercial Vehicle Systems’ plant in Frankfort. That facility is slated to close later this year.

In Bowling Green, Bendix Spicer is leasing space that formerly housed Hayes Lemmerz, a company that fabricated aluminum wheels for the automotive industry.

The company will lease 187,000 square feet of the existing 305,000-square-foot plant and will employ approximately 175 workers when it opens in April 2008.
Bendix Spicer clients include Volvo Trucks North, Kenworth Truck Company, Mack Trucks Inc., General Motors and Blue Bird Corp.

Ford Motor Company's Kentucky Truck Plant in Louisville is exclusively responsible for building the Super Duty line of trucks. The company's Louisville Assembly Plant produces the Ford Explorer and Mercury Mountaineer.

A new economic incentive program has been passed by the state’s General Assembly with the hope that the program will prove useful in the effort to convince Ford Motor Co. to keep its two Kentucky plants in operation.

Ford Motor Co.’s financial struggles in recent years have been well documented and the company announced last year that it plans to close 14 plants and cut 30,000 jobs by 2012 in an attempt to return the company to profitability.

House Bill 536 provides an appropriation of $10 million in training money, which would be awarded through the Bluegrass State Skills Corporation for support of worker training programs at the two Ford facilities in Jefferson County.

“This legislation makes it possible for us to go back to the table and continue negotiations with Ford using these new economic development tools,” said Gov. Ernie Fletcher. “It is our goal to do everything we can to keep Louisville’s Ford plants not only in place but viable for the future.”

The two plants currently employ more than 8,000 people and the annual Ford employee compensation is estimated to be more than $800 million including benefits. The two plants have an estimated total annual recurring economic impact of more than $4 billion.  There could be an indirect and induced employment impact of 40,000 lost jobs in the state if the plants were to be closed.

Carhartt's Providence sewing plant produces work pants and coats.

Carhartt, a textile company that manufactures a broad line of work wear and outdoor clothing, will close its plants in Madisonville and Providence next month, leaving approximately 160 workers without jobs.

In making the announcement, the Michigan-based company released a statement that said the end of a “40-year, globally enforced apparel quota system and the recent passing of the Central American Free Trade Agreement in the Dominican Republic allow additional imports from overseas and significantly change(s) our business. This change is necessary to ensure we have the most efficient mix of domestic and international manufacturing and processing facilities.”

Last year, the company closed its plant in Sebree, Ky. Still, said a company spokesman, Carhartt found it had more capacity in the United States than was needed. As a result, some of the Madisonville and Providence operations will be moved to another U.S. location, while other production lines will be relocated to Mexico.

The company does plan to keep its distribution center in Hanson open and said all employees will have the opportunity to transfer to that location.

The news hit the Madisonville community particularly hard in light of fact that automotive supplier Autoliv has also laid off 140 of its 264 employees. The Autoliv lay-offs are a result of the company’s decision to move the production of seat belts to Mexico.

Three major entities in central Kentucky have come together to form a new partnership that will streamline the start-up process for entrepreneurs and new business development.

Commerce Lexington, the Lexington Fayette Urban County Government and the University of Kentucky Office for Commercialization and Economic Development have combined the expertise available through their respective organizations to create the Bluegrass Business Development Partnership, a “one-stop, super-service provider” that will help businesses become established or expand in the central Kentucky area.

The partnership’s business development specialists are available to provide assistance and information on the creation of business and financial plans; loan programs and tax incentives; connections to funding sources; access to service providers such as accountants, lawyers, marketing, public relations and advertising; real estate; executive mentoring and consultation; and university commercialization opportunities.

All services available through the partnership are now housed at Commerce Lexington, located in downtown Lexington. For business people looking to utilize those services, the consolidation means a greatly simplified and convenient process, said Commerce Lexington President and CEO Bob Quick, as opposed to having to visit several different physical locations to obtain information.

The organization is currently in the process of establishing a Web site, www.thinkbluegrass.com, which will be accessible later this summer. The site will feature links to an abundance of business resources throughout the area.

Humana has launched a new program that features a partnered approach between Humana, insurance brokers, employers and their employees that comes with a cost guarantee to employers.

The SmartResults plan is being offered to self-funded U.S. employers with 300 or more employees. The program requires that an employer sign up for the program for three years, but in doing so, the employer is guaranteed that its health care claims costs will not rise more than 6 to 9 percent per year (depending on which health plan is chosen). According to statistics released by Humana, U.S. annualized health insurance premiums increased an average of 11 percent between 2002 and 2006.

“SmartResults,” explained Beth Bierbower, Humana’s vice president of product innovation, “gets employers focused where they can have the greatest impact on controlling health-benefits expenditures – on helping their employees better manage their own health care.”

Employers who participate fully in the program will either get the results Humana predicts or get a refund – up to 40 percent – of the fees Humana charges the employer to administer their health benefits.

Nifco Inc., a Japanese manufacturer of plastic injection-molded fasteners for the automotive industry, has announced plans to open a plant in Shelbyville.

The company is constructing a 43,000-square-foot facility on 13.5 acres in the Hi Point Industrial Park. Nifco expects to hire approximately 150 people within two years.

“It is our intent to install state-of-the-art manufacturing equipment at our new plant in Shelbyville in order to manufacture products capable of being cost-competitive in the U.S. market,” said Kenichi Sakurai, managing director of Nifco.

Nifco Inc. is the principal manufacturer of industrial plastic parts and components in Japan, with 70 percent of the market. The company produces more than 20,000 types of fasteners, plastic parts components, electrical and electronic parts, which it supplies to the automobile industry, home electric appliance and white goods manufacturers.

Founded in 1967, Nifco now has five production facilities in Japan and 22 facilities in locations that include the United States, China, Hong Kong, Malaysia, Mexico, Poland, Singapore, South Korea, Spain, Taiwan, Thailand, United Kingdom and Vietnam.

Sakurai said Nifco’s choice of Shelbyville was based on its proximity to the company’s primary customers.

The Kentucky Economic Development Finance Authority has granted preliminary approval for tax benefits of up to $3 million under the Kentucky Industrial Development Act, an incentive program designed to attract and expand manufacturing operations in the state.

The Southeast Kentucky Economic Development Corporation (SKED) has opened a new commercial transportation hub in Somerset that is designed to facilitate rail-truck transfers and stimulate future economic development.

The $9.5 million Somerset Rail Park, which is the only public-access, rail-served site in the commonwealth, has been under development and construction for several years to ensure its services will match both the region’s business needs and the transportation industry’s specifications.

The facility will enable customers to lower their transportation costs by offering alternate supply chain solutions. The terminal includes six unloading tracks that are capable of handling a total of 72 rail cars. The rail park is open to all third-party truckers, with switching available Monday through Friday.

SKED has partnered with Norfolk Southern Corporation to provide rail service to the site.

The 34-acre site also includes a warehouse that offers 78,750 square feet of storage space as well as two acres of outdoor storage area for large bulk products.

Greg Jones, executive director of SKED, said the goal of the rail park is to provide the region’s current manufacturers with “the best possible means of transporting their goods, and at the same time offer potential new businesses an additional incentive to locate their operations here.”

“Railroads are critical to moving goods all over the world,” said U.S. Congressman Hal Rogers, who helped secure $8 million in federal funding for the park, “but they don’t stop at every warehouse and lumberyard anymore – they need rail parks like this one to pick up shipments in one stop. Enabling southern and eastern Kentucky businesses to ship by rail keeps our regional moving forward in the global economy.”

Fortune magazine’s 2007 list of the nation’s 500 largest publicly held companies includes six that are headquartered in Kentucky.

Louisville-based Humana once again headed the list of the largest Kentucky companies, coming in at No. 110 on the list with 2006 revenues of $21.4 billion.

Humana was also was of the nation’s fastest growing companies, receiving a ranking of No. 17 for its one-year growth in revenue and No. 7 for 10-year growth in profits. Moreover, the company was listed as the nation’s No. 2 best investment, based on the five-year total return to shareholders.

Omnicare, a pharmaceutical company with headquarters in Covington, was No. 39 in terms of five-year growth in revenue.

Lexington-based printer manufacturer Lexmark International pulled a No. 24 ranking for its one-year total return to shareholders and was listed at No. 49 on the Most Profitable Companies list, based on return on shareholders’ equity.

Louisville-based Yum Brands, the parent company of Taco Bell, Pizza Hut, Kentucky Fried Chicken and Long John Silver’s/A&W Restaurants, was also listed as one of the nation’s most profitable companies based on return on shareholder equity, earning a No. 16 ranking.

Grant funding from the Governor’s Office of Energy Policy has been awarded to Bertram Oil Company of Monticello and Kentucky Petroleum Supply of Winchester to help expand the use of biodiesel in eastern, central and southeastern Kentucky.

Biodiesel is an additive to traditional diesel fuel that is primarily made from vegetable oils and animal fats. Kentucky currently has only two biodiesel production plants: Griffin Industries in Butler and Union County Biodiesel.  (Owensboro Grain currently has a 50 million gallon production plant under construction with a June operational date targeted.)

In selecting grant recipients, the Kentucky Clean Fuels Coalition, a non-profit organization headquartered in Louisville, coordinated with the Center for Rural Development in Somerset to identify strategic locations for biodiesel storage and distribution projects in central and eastern Kentucky.

Bertram and KPS together will deliver fuel to 18 additional counties that have been unable to get biodiesel. Access to biodiesel has been hindered by freight charges, which raise the price of the biodiesel when it has to be purchased from great distances.