Michelin nears completion of $200 million investment project

Michelin’s Ardmore plant is nearing the finish line of its $200 million investment project that began in late 2002. The company has already spent $187 million for upgrades and will wrap up the rest by the end of October.
This investment converted the previous Uniroyal Goodrich plant into a Michelin tire manufacturing facility, the first time in the world that any plant had been upgraded to the Michelin process, according to Lynn Mann, director of public relations.
“Michelin has made a tremendous commitment to Ardmore that is continuing to pay dividends,” said David Brenner, plant manager. “As part of the switch to produce Michelin brand tires, the $200 million investment has significantly upgraded our equipment, allowing us to produce more highly technical tires in larger sizes that are in high-market demand.”
In 2007, about 30 percent of the Ardmore plant’s production was Michelin brand, supplying original equipment to manufacturers and replacement tires for consumers.
Michelin’s Ardmore plant hired approximately 200 new employees in 2007 and has current openings for skilled production jobs.
Michelin is facing increased competition from low-cost tire imports, primarily from Asia, according to Mann. “Unlike some other makers, Michelin continues to invest in its North American manufacturing base, announcing more than $1.2 billion in new projects last year alone,” she said. “Investments like the current one in Ardmore allow the company to remain competitive by increasing productivity and improving efficiency.”
A combination of local support, state incentives, and an excellent workforce results in a bright future for Ardmore’s Michelin plant, according to Wes Stucky, president and CEO, Ardmore Development Authority.
“We worked hard to obtain incentives for the tire industry in the 2002 session of the Legislature and I have to thank Rep. Greg Piatt and Sen. Johnnie Crutchfield for their efforts on our behalf,” Stucky said. “This is a great company and a great corporate citizen. We appreciate the investment, the jobs and all that the company does for our community. Amidst national economic doldrums, it’s particularly refreshing to report a positive future for Michelin and for Ardmore.”
In 2002, Michelin’s expansion was helped with bonds issued by the Oklahoma Development Finance Authority. Senate Bill 1891 authorizes the ODFA to issue bonds again to reimburse a portion of costs associated with additional expansion of the Ardmore plant and Goodyear in Lawton.
These bonds cannot be issued until 2013, and the bill passed out of the House on April 24.
Michelin’s investment in the plant has received excellent support from the Ardmore community and the state of Oklahoma, according to Mann. “Incentive legislation was crucial in helping to secure the multi-year investment,” she said. “The pro-business environment is one of Michelin Ardmore’s greatest assets.”
The Ardmore plant was established in 1969 and is the largest Michelin plant in North America. The plant currently employs about 1,750 and spans across 1,500,000 square feet.
Sheila J. Robinson, 221-6536
sheila.robinson@ardmoreite.com