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Assembly Plant Forerunner in City of Detroit's Revitalization

17 July 1998

Jefferson North Assembly Plant Forerunner in City of Detroit's Revitalization

    DETROIT, July 16 -- It was originally tagged by skeptics
earlier this decade as "the automobile plant that shouldn't be built."  Today,
as production of the all-new 1999 Jeep Grand Cherokee begins this week,
Chrysler Corporation's Jefferson North Assembly Plant stands as a crown jewel
on the city of Detroit's east side, and the focal point of the Corporation's
commitment to urban areas.
    When the first Grand Cherokee rolled off the assembly line on Jan. 14,
1992, it marked the reversal of an auto industry trend to build new plants in
rural communities.
    Since then, Chrysler has invested an additional $6 billion in
manufacturing facilities throughout Detroit, thus helping lead the midwest's
economic resurgence during the 1990s.
    "These investments in our inner-city workforce and manufacturing
facilities create opportunities for Chrysler and for the City of Detroit that
will last well into the next century," said Robert J. Eaton, Chairman,
Chrysler Corporation.  "Both Chrysler and the City have tremendous momentum,
and the launch of the all-new 1999 Grand Cherokee, along with our other
investments, will help keep it going."
    Employment at Jefferson North has more than doubled from 2,100 workers
when it opened with two-shifts in 1992, to 4,300 employees today working three
shifts around the clock.
    Another key investment in Detroit directly related to the launch of the
1999 Grand Cherokee is the Corporation's new Mack Avenue Engine Plant.
Located in the City's Empowerment Zone, Mack Avenue Engine was developed on
the site of the Old Mack Complex near the Jefferson North Assembly facility.
    The history-making initiative and key investment in the Empowerment Zone
was a result of a cooperative effort between Chrysler, the city of Detroit,
the U.S. Environmental Protection Agency, the Michigan Attorney General's
Office and the Michigan Department of Environmental Quality.  The effort
resulted in a brownfield (urban) development within the City, and a plant that
is producing V-8 engines for the new Grand Cherokee.
    In addition, a new V-6 engine plant is now being built right next to the
V-8 facility.  The Engine Complex represents a total investment of $1.65
billion in the City's Empowerment Zone -- an area key to Detroit's
revitalization.  Chrysler is the largest single corporate investor in
Detroit's Empowerment Zone, and has also stimulated supplier investment by
sourcing $50 million to firms located there.
    Chrysler's other manufacturing facilities in Detroit include McGraw Glass,
Conner Avenue Assembly, Detroit Axle and Mt. Elliott Tool and Die.  More than
12,000 employees are now working at Chrysler facilities throughout the city of
Detroit.