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November 8, 2007
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Gov. Riley: 'This is a great day for Alabama'
ThyssenKrupp officials pledge long commitment to Alabama
By Evan Carden SA Editor

Gov. Bob Riley welcomes ThyssenKrupp AG Chairman of the Executive Board Ekkehard D. Schultz during Friday's ceremony. (SA photo by Evan Carden)
Local, state and federal officials gathered near the Washington-Mobile counties' line Friday, Nov. 2, to break ground on ThyssenKrupp's $3.7 billion steel plant, which is slated to open in March of 2010.

The deal is being hailed as one of the largest industrial announcements in the United States in years and state officials are claiming it will transform the region's economy. "This is a great day for Alabama, the United States and Germany," said Gov. Bob Riley during his comments to those in attendance. "There are few times when you literally get to see the future. We get to see it today. This is a prelude to a great future in the state of Alabama."

Riley recognized Neal Wade and the Alabama Development Office for its efforts in tying down the ThyssenKrupp deal. He also recognized Congressman Jo Bonner, as well as U.S. Senators Richard Shelby and Jeff Sessions for their roles. "When you want something done Jo (Bonner) is the one to have on your side," he said.

Gov. Bob Riley (right, center) and ThyssenKrupp AG Chairman of the Executive Board Ekkehard D. Schultz (left, center) joined local, state, federal and other ThyssenKrupp officials in Calvert Friday, Nov. 2, for a groundbreaking ceremony to mark the beginning of construction for the German steelmaker's huge stainless and hot roll manufacturing plant slated to begin operations in March of 2010. (SA photo by Evan Carden)
The governor also thanked Lt. Gov. Jim Folsom and Alabama Speaker of the House Seth Hammett for their support in getting the legislation passed which enabled the state's economic development team to offer an attractive package to ThyssenKrupp officials.

Serving as master of ceremonies for Friday's event was Christian Koenig, Thyssen- Krupp USA's head of public and government affairs. Following Gov. Riley's comments, he introduced ThyssenKrupp AG Chairman of the Executive Board Dr. Ekkehard D. Schultz. "The global steel industry is undergoing a dynamic consolidation process," said Schultz. "We are No. 2 in the European Market and look to grow our market in the U.S. Today we dig on a small plot of land that will be the site of a 3,500-acre facility. We are on schedule to open our facility in March of 2010 and will create 2,700 jobs, with many opportunities. We will be a good neighbor and a quality corporate citizen."

The Murphy High School Band performed the United States and German national anthems during Friday's program. (SA photo by Evan Carden)
Schultz said the project is one that represents a very long-term commitment. "We will be in Alabama for decades to come, providing good jobs for many generations."

He went on to say that in many cases ThyssenKrupp's own environmental policies exceed what is required by the Environmental Protection Agency. He referred to Alabama as "the crown jewel of the South." "This is a testament to Gov. Riley and Neal Wade of the Alabama Development Office."

During his comments to the crowd, U.S. Shelby complimented Riley on his economic development efforts during his two terms as governor. "We're open for business in Alabama," he said. "ThyssenKrupp will do well here. They bring a firstclass company to our state. We look forward to doing business with you for a longtime. Now, let's go to work."

Gov. Riley (fourth from left) and ThyssenKrupp company officials conducted a question-answer session for members of the press following Friday's groundbreaking ceremony. Several issues, including the international steel market and housing for the expected onslaught of construction workers, were discussed. (SA photo by Evan Carden)
"Germany represents one of the best allies the U.S. has," said Sen. Sessions. "ThyssenKrupp looked at doing business in the United States. I salute the Alabama economic development team for all they did in making this a reality. This proves we are part of a world economy."

Congressman Bonner said, "Today is the beginning of a celebration." He used the awarding of the Congressional Medal of Freedom to Monroeville Author Harper Lee (To Kill a Mockingbird) as an example of how the South is everchanging.

"ThyssenKrupp's investment is great for Alabama and its expectations are high," he continued. "Believe me, so are ours. This is a world-class partnership that will produce a world class product. The people who live here never stopped dreaming that one day our ship would come in. Today shows it has and it is truly a ship made of steel."

Others speaking during the ceremony included Mobile Mayor Sam Jones and members of the Mobile County Commission, which approved a number of incentives as part of the state's development package for the deal.

ThyssenKrupp looks to

strengthen U.S. market

"This new processing facility will allow us to strengthen our position in North America," said Karl-Ulrich Koehler, chairman of the executive board of ThyssenKrupp Steel and member of ThyssenKrupp AG's executive board, in a press release provided by the company. "It will create major advantages in terms of quality, costs and access to a customer base with a demand greater than current supply. Our investment in Alabama is a central element of the ThyssenKrupp Stainless strategy."

During a press briefing which followed the groundbreaking ceremony, a question was posed concerning the flooding of the the world market with Chinesemade steel and how it would affect ThyssenKrupp's position in the world and U.S. markets. "We (ThyssenKrupp) use the most up-to-date and state-ofthe art processes to produce a top quality product," said company spokesperson Bob Soulliere. "As for China, there is a concern for their use of outdated equipment used in their processes, which produces an inferior product."

Other concerns discussed included housing for construction workers, which will number approximately 30,000 in several phases of the project, employment opportunities and sewerage system developments for the nearby municipalities of Mt. Vernon and McIntosh.

Gov. Riley pointed out that, as in other areas of large economic development projects, all those items will be worked out as the needs for them arise.

A large number city and county officials from Washington and Clarke counties were in attendance for the event. Some economic developers have said that the new plant will affect many of the surrounding areas.
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