Jindal highlights significant growth at SAPA Aluminum Facilities in Richland Parish

MGN-Online
Monday, August 12, 2013 - 2:40pm

Today, Governor Bobby Jindal and Sapa Excursions LLC Plant Manager Ron Ballman highlighted the growth of Sapa’s two manufacturing facilities in Delhi. Sapa, the world’s largest aluminum extruder, agreed to move its Redd Team production line from Magnolia, Arkansas to a newly created Louisiana production site that opened in a former Delhi boat manufacturing plant in 2012.

As part of its relocation to Louisiana, Sapa committed to the retention of 237 existing employees at the company’s original Delhi site on U.S. 80. The company also committed to creating 37 new direct jobs by 2016 at the 50,000-square-foot Redd Team facility on La. 17, which was offered by the Town of Delhi at a favorable lease rate. Employment at the Redd Team plant on La. 17 has now reached 38, already exceeding its commitment to create 37 new direct jobs. Additionally, the original Delhi facility added 63 new jobs. Between both facilities, Sapa created 101 total new direct jobs since the announcement, employing 338 workers in total and increasing annual payroll from $8.3 million to more than $13 million. LED estimates the expansion is resulting in an additional 177 new indirect jobs, for a total of more than 275 new jobs.

Governor Jindal said, “Sapa is a great manufacturing success story for Northeast Louisiana and our entire state. Over a year-and-a-half ago, we aggressively pursued this expansion project, and we were able to bring these valuable production jobs to our state. Today, we’re seeing the great fruits of that success. Sapa has realized a net gain of more than 100 new direct jobs and double-digit growth in its annual sales. Now, Sapa is the number one private sector employer in Richland Parish.

“Companies like Sapa continue to choose Louisiana because of our strong business climate, world-class infrastructure and highly skilled workforce. Our work to improve Louisiana’s business climate and to make our state competitive on the world stage are truly paying off as company after company continue creating great career opportunities for our people.”

Governor Jindal visited Sapa Extrusion’s U.S. 80 facility and met with company and parish leaders as part of his 64-Parish Tour. In addition to providing incentives for the Redd Team relocation from Arkansas, the State of Louisiana worked with Richland Parish officials and the federal government to provide $739,000 in funds for widening and resurfacing Sapa Drive from U.S. 80 to beyond the plant entrance.

The cooperation of state, parish and local officials has spurred Sapa to not only increase hiring but to increase its capital spending and boost the capacity of its plants. For the Arkansas relocation, Sapa committed $415,000 in capital investment to improve the La. 17 plant. In early 2012, Sapa completed its Redd Team investment, followed by a $2.5 million capital investment to increase aluminum recycling capacity at its U.S. 80 plant. That investment was completed in April 2013, and Sapa will complete a $500,000 expansion of its anodizing line for door fame and window finishes this week. In all, Sapa has completed $3.4 million in capital investments at its Delhi operations during the past two years.

“We’re proud to contribute toward the current job creation and economic development efforts of our local community, and look forward to supporting these efforts moving forward,” said Ron Ballman, plant manager of Sapa Extrusions North America’s Delhi facility.

In addition to its economic benefits, Sapa has undertaken a number of charitable efforts in the community. Each month, Sapa donates an access ramp meeting Americans with Disabilities Act requirements to a local church or homeowner and installs the ramp at no charge. In the past year, those donations have totaled more than $100,000, and the company also donated and installed bleacher seating free of charge for a local softball field.
 

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