Michigan Grants Big Three Automakers Billions in Tax Breaks for New Projects
Ford Motor (F) and Chrysler Group are the biggest recipients of the incentives, the Michigan Economic Growth Authority said.
Ford will receive a 15-year credit worth $909 million, with nearly half that amount going toward opening plants and hiring workers, the agency said. Chrysler will receive a 20-year credit worth $1.3 billion to upgrade facilities and add additional shifts at its plants.
On Monday, Ford said it would create as many as 1,200 engineering and manufacturing jobs by spending $850 million to upgrade at least four Michigan plants through 2013, in anticipation of the agency's approval of the incentives.
The Dearborn, Mich.-based company reported earlier Tuesday that it earned $1.7 billion in the third quarter, marking its sixth consecutive profitable quarter.