May 7, 2010

Liner Inc. plans expansion into new pickup truck tonneau covers

New pickup trucks
CALEDONIA TOWNSHIP, Michigan — A company with ownership ties to former Flint Mayor Don Williamson is hoping to invest about $15 million into its Aiken Road facility to add a new product line and new employees.

Rugged Liner Inc., which has about 50 employees and manufactures pickup truck bedliners and folding and snap tonneau covers for trucks, last month received the OK for a 12-year, 50 percent tax abatement from the township, said Justin Horvath, president and chief executive officer of the Shiawassee Economic Development Partnership.

Suzanne Kayser, who works on projects for Rugged Liner, said the abatement will help Rugged Liner with new tooling for a hard, one-piece tonneau cover for pickup truck beds. The company plans to build the new tonneau covers for a variety of brands and model years, she said.

“There’s one competitor in the nation doing this right now, so we’re going to head to head with them,” said Kayser, who formerly worked under Williamson as the city’s economic development director. “It’s quite an engineering feat.”

Kayser said tooling work should start in the near term and the company has plans to hire an estimated 28 new workers initially.

“We expect there’ll be more than that, significantly more,” she said.

“We’re talking about more machinery and more guys,” added Williamson, who said Rugged Liner is a corporation and he "might have a little” ownership in the company. Rugged Liner currently is being run by his son Scott Williamson.

The tax abatement will be reviewed by the township on annual basis, Horvath said.

The SEDP is working with Rugged Liner and the Michigan Economic Development Corp. to help Rugged Liner secure a Michigan Business Tax credit.

Horvath said the application is in process and he doesn’t yet have a dollar amount on the value of the credit. He said the credit is performance based and no money is given upfront from the state.

Bridget Beckman, a spokeswoman for the MEDC, confirmed MEDC officials are meeting with Rugged Liner officials, but declined to comment on the project that is being discussed.

“The state is committed to providing support incentives for this project,” Horvath said, adding the credit requires local participation which Rugged Liner has secured through the township tax abatement.

Horvath said if things go well for Rugged Liner, they may expand the building at 951 Aiken Road.

“We need to celebrate the fact they’re investing and adding jobs in this economy,” he said.
http://www.mlive.com

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