Tempel Steel Officials and Mayor Richard M. Daley Announce Expansion of Chicago Manufacturing Facility

Thursday, August 21st 2008

Mayor Richard M. Daley and officials from Tempel Steel, one of the north side’s largest companies, announced today that the company will expand and renovate its current manufacturing plant in Chicago, and bring more than 350 jobs to the city.

The Chicago-based company, which manufactures steel laminations used in electric motors and transformers, announced it would close its Libertyville location, and bring those jobs to an expanded Chicago location, rather than another existing plant in Monterrey, Mexico. The renovated plant will house more than 800 jobs.

“Tempel Steel Company has deep roots in Chicago since it was founded here in 1945 by Tempel Smith; our recent expansion into international markets has not hampered our ties to the city or the importance of our headquarters and manufacturing operations here,” said Vincent Buonanno, Chairman and CEO of Tempel Steel. “Although we have an investment in manufacturing in Monterrey, Mexico, our decision to keep important manufacturing operations in Chicago reflects on the City’s ability to provide Tempel with the talent to fill nearly 800 premium manufacturing jobs in an expanded, advanced, centrally located facility, so we can best meet the needs of our customers around the world.”

“When a company such as Tempel makes a commitment like this one, it sends a strong message to the business community that our leaders work together and that Chicago can meet the needs of any company in the world – from the largest to the smallest,” said Chicago Mayor Richard M. Daley, at a press conference at Tempel Steel’s Chicago plant.

Tempel Steel has approximately 2,000 employees worldwide, with operations in Canada, Mexico, India and China. The company will soon begin construction for the expansion of its facility at 5500 N. Wolcott, with plans for completion by July 2009.

The city of Chicago, state of Illinois and World Business Chicago are working closely to provide Tempel Steel with assistance to expand its Chicago operations. The company is deemed eligible for the New Market Tax Credit, Enterprise Zone program, Class 6b Real Estate Tax Classification incentives and the EDGE Tax Credit program. The combined financial incentive package is estimated to be worth approximately $6-7 million.

“With more than 483,500 manufacturing jobs in the Chicago metro area, totaling more than $58.1 billion in goods produced here last year, Chicago remains a leader in manufacturing,” said Rita Athas, executive director of World Business Chicago. “Chicago’s dedication to keeping these manufacturing jobs – and growing them – is evident in Tempel Steel’s decision to expand its operations here.”